Cover
Cover - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 23, 2024 | Jun. 30, 2023 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Interactive Data Current | Yes | ||
ICFR Auditor Attestation Flag | false | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Documents Incorporated by Reference [Text Block] | Portions of the Registrant’s definitive Proxy Statement for its Annual Meeting of Shareholders to be held on April 17, 2024 are incorporated by reference into Part III of this Annual Report on Form 10-K. | ||
Entity Information [Line Items] | |||
Entity Registrant Name | SB FINANCIAL GROUP, INC. | ||
Entity Central Index Key | 0000767405 | ||
Entity File Number | 001-36785 | ||
Entity Tax Identification Number | 34-1395608 | ||
Entity Incorporation, State or Country Code | OH | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Shell Company | false | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Public Float | $ 85.9 | ||
Entity Contact Personnel [Line Items] | |||
Entity Address, Address Line One | 401 Clinton Street | ||
Entity Address, City or Town | Defiance | ||
Entity Address, State or Province | OH | ||
Entity Address, Postal Zip Code | 43512 | ||
Entity Phone Fax Numbers [Line Items] | |||
City Area Code | (419) | ||
Local Phone Number | 783-8950 | ||
Entity Listings [Line Items] | |||
Title of 12(b) Security | Common Shares, No Par Value | ||
Trading Symbol | SBFG | ||
Security Exchange Name | NASDAQ | ||
Entity Common Stock, Shares Outstanding | 6,787,451 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Auditor [Table] | |
Auditor Name | FORVIS, LLP |
Auditor Firm ID | 686 |
Auditor Location | Indianapolis, Indiana |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and due from banks | $ 22,965 | $ 27,817 |
Interest bearing time deposits | 1,535 | 2,131 |
Available-for-sale securities | 219,708 | 238,780 |
Loans held for sale | 2,525 | 2,073 |
Loans, net of unearned income | 1,000,212 | 962,075 |
Allowance for credit losses | (15,786) | (13,818) |
Premises and equipment, net | 21,378 | 22,829 |
Federal Reserve and Federal Home Loan Bank Stock, at cost | 7,279 | 6,326 |
Foreclosed assets and other assets held for sale, net | 511 | 777 |
Interest receivable | 4,657 | 4,091 |
Goodwill | 23,239 | 23,239 |
Cash value of life insurance | 29,121 | 28,870 |
Mortgage servicing rights | 13,906 | 13,503 |
Other assets | 11,999 | 16,940 |
Total assets | 1,343,249 | 1,335,633 |
Deposits | ||
Non interest bearing demand | 228,713 | 256,799 |
Interest bearing demand | 166,413 | 191,719 |
Savings | 216,965 | 191,272 |
Money market | 202,605 | 255,995 |
Time deposits | 255,509 | 190,880 |
Total deposits | 1,070,205 | 1,086,665 |
Repurchase agreements | 13,387 | 14,923 |
Federal Home Loan Bank advances | 83,600 | 60,000 |
Trust preferred securities | 10,310 | 10,310 |
Subordinated debt net of issuance costs | 19,642 | 19,594 |
Interest payable | 2,443 | 769 |
Other liabilities | 19,320 | 24,944 |
Total liabilities | 1,218,907 | 1,217,205 |
Commitments & Contingent Liabilities | ||
Shareholders’ Equity | ||
Preferred stock, no par value; authorized 200,000 shares; 2023 - 0 shares outstanding, 2022 - 0 shares outstanding | ||
Common stock, no par value; 2023 - 10,500,000 shares authorized, 8,525,375 shares issued; 2022 - 10,500,000 shares authorized, 8,525,375 shares issued | 61,319 | 61,319 |
Additional paid-in capital | 15,124 | 15,087 |
Retained earnings | 108,486 | 101,966 |
Accumulated other comprehensive loss | (29,831) | (32,120) |
Treasury stock, at cost; (2023 - 1,756,733 common shares; 2022 - 1,589,913 common shares) | (30,756) | (27,824) |
Total shareholders’ equity | 124,342 | 118,428 |
Total liabilities and shareholders’ equity | $ 1,343,249 | $ 1,335,633 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares shares in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in Dollars per share) | ||
Preferred stock, shares authorized | 200,000 | 200,000 |
Preferred stock, shares outstanding | ||
Common stock, par value (in Dollars per share) | ||
Common stock, shares authorized | 10,500,000 | 10,500,000 |
Common stock, shares issued | 8,525,375 | 8,525,375 |
Treasury stock shares | 1,756,733 | 1,589,913 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Loans | ||
Taxable | $ 51,407 | $ 38,238 |
Tax exempt | 483 | 335 |
Securities | ||
Taxable | 5,245 | 5,174 |
Tax exempt | 170 | 198 |
Other interest income | 847 | 624 |
Total interest income | 58,152 | 44,569 |
Interest Expense | ||
Deposits | 14,708 | 3,477 |
Repurchase agreements & other | 74 | 39 |
Federal Home Loan Bank advance expense | 2,603 | 515 |
Trust preferred securities expense | 716 | 361 |
Subordinated debt expense | 778 | 778 |
Total interest expense | 18,879 | 5,170 |
Net Interest Income | 39,273 | 39,399 |
Provision for credit losses - loans | 688 | |
Provision for unfunded commitments | (373) | |
Total provision for credit losses | 315 | |
Net interest income after provision for loan losses | 38,958 | 39,399 |
Noninterest Income | ||
Wealth management fees | 3,532 | 3,728 |
Customer service fees | 3,403 | 3,378 |
Gain on sale of mortgage loans & OMSR | 3,609 | 4,298 |
Mortgage loan servicing fees, net | 2,101 | 2,964 |
Gain on sale of non-mortgage loans | 429 | 566 |
Title insurance income | 1,635 | 2,229 |
Net gain on sale of securities | 1,453 | |
Other income | 1,559 | 1,068 |
Total noninterest income | 17,721 | 18,231 |
Noninterest Expense | ||
Salaries and employee benefits | 22,777 | 24,142 |
Net occupancy expense | 3,096 | 2,993 |
Equipment expense | 4,078 | 3,616 |
Data processing fees | 2,659 | 2,510 |
Professional fees | 3,024 | 3,214 |
Marketing expense | 782 | 911 |
Telephone and communications | 501 | 474 |
Postage and delivery expense | 432 | 422 |
State, local and other taxes | 949 | 1,082 |
Employee expense | 631 | 613 |
Other expense | 3,033 | 2,337 |
Total noninterest expense | 41,962 | 42,314 |
Income before income tax | 14,717 | 15,316 |
Provision for income taxes | 2,622 | 2,795 |
Net Income | $ 12,095 | $ 12,521 |
Basic earnings per common share (in Dollars per share) | $ 1.77 | $ 1.79 |
Diluted earnings per common share (in Dollars per share) | $ 1.75 | $ 1.77 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 12,095 | $ 12,521 |
Other comprehensive income (loss) | ||
Gross unrealized holding gain (loss) arising in the period | 2,897 | (38,323) |
Related tax benefit | (608) | 8,048 |
Net effect on other comprehensive income (loss) | 2,289 | (30,275) |
Total comprehensive income (loss) | $ 14,384 | $ (17,754) |
Consolidated Statements of Shar
Consolidated Statements of Shareholders’ Equity - USD ($) $ in Thousands | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total |
Balance at Dec. 31, 2021 | $ 54,463 | $ 14,944 | $ 99,716 | $ (1,845) | $ (22,349) | $ 144,929 |
Net income | 12,521 | 12,521 | ||||
Other comprehensive income (loss) | (30,275) | (30,275) | ||||
Stock dividends on common (344,663 shares) | 6,856 | (6,864) | (8) | |||
Dividends on common | (3,407) | (3,407) | ||||
Restricted stock vesting | (425) | 425 | ||||
Repurchased stock | (5,900) | (5,900) | ||||
Stock based compensation expense | 568 | 568 | ||||
Balance at Dec. 31, 2022 | 61,319 | 15,087 | 101,966 | (32,120) | (27,824) | 118,428 |
Net income | 12,095 | 12,095 | ||||
Other comprehensive income (loss) | 2,289 | 2,289 | ||||
CECL initial adjustment | (1,991) | (1,991) | ||||
Dividends on common | (3,584) | (3,584) | ||||
Restricted stock vesting | (539) | 539 | ||||
Repurchased stock | (3,471) | (3,471) | ||||
Stock based compensation expense | 576 | 576 | ||||
Balance at Dec. 31, 2023 | $ 61,319 | $ 15,124 | $ 108,486 | $ (29,831) | $ (30,756) | $ 124,342 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders’ Equity (Parentheticals) - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||
Cash dividends on common, per share (in Dollars per share) | $ 0.52 | $ 0.48 |
Repurchased stock, shares | 244,325,000 | 317,356,000 |
Stock dividends on common, shares | 344,663,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Operating Activities | ||
Net Income | $ 12,095 | $ 12,521 |
Items not requiring (providing) cash | ||
Depreciation and amortization | 2,235 | 2,196 |
Provision for credit losses | 315 | |
Expense of share-based compensation plan | 576 | 568 |
Amortization of premiums and discounts on securities | 522 | 897 |
Amortization of intangible assets | 90 | 69 |
Amortization of originated mortgage servicing rights | 1,242 | 1,749 |
Impairment (recovery) of mortgage servicing rights | 50 | (1,279) |
Deferred income taxes | 1,878 | 2,709 |
Proceeds from sale of loans held for sale | 161,183 | 189,515 |
Originations of loans held for sale | (159,292) | (181,192) |
Gain from sale of loans | (4,038) | (4,864) |
Net gains on sales of securities | (1,453) | |
Changes in | ||
Interest receivable | (566) | (1,171) |
Other assets | 3,876 | (2,014) |
Interest payable & other liabilities | (4,724) | 5,865 |
Net cash provided by operating activities | 13,989 | 25,569 |
Investing Activities | ||
Purchases of available-for-sale securities | (723) | (50,618) |
Proceeds from maturities of interest bearing time deposits | 596 | 512 |
Proceeds from maturities of available-for-sale securities | 22,170 | 35,878 |
Net change in loans | (38,736) | (139,670) |
Purchase of premises, equipment | (958) | (1,896) |
Proceeds from bank owned life insurance | 398 | |
Purchase of bank owned life insurance | (10,500) | |
Purchase of Federal Reserve and Federal Home Loan Bank Stock | (953) | (1,023) |
Proceeds from sale of foreclosed assets | 816 | 1,646 |
Net cash used in investing activities | (17,390) | (165,671) |
Financing Activities | ||
Net decrease in demand deposits, money market, interest checking & savings accounts | (81,089) | (60,756) |
Net increase in time deposits | 64,629 | 34,376 |
Net decrease in securities sold under agreements to repurchase | (1,536) | (397) |
Proceeds from Federal Home Loan Bank advances | 810,500 | 232,000 |
Repayment of Federal Home Loan Bank advances | (786,900) | (177,500) |
Stock repurchase plan | (3,471) | (5,900) |
Dividends on common shares | (3,584) | (3,415) |
Net cash provided by (used in) financing activities | (1,451) | 18,408 |
Increase in cash and cash equivalents | (4,852) | (121,694) |
Cash and cash equivalents, beginning of year | 27,817 | 149,511 |
Cash and cash equivalents, end of year | 22,965 | 27,817 |
Supplemental cash flow information | ||
Interest paid | 17,205 | 4,700 |
Supplemental non-cash disclosure | ||
Transfer of loans to foreclosed assets | 507 | 322 |
Stock dividends declared and paid | $ 6,856 |
Organization and Summary of Sig
Organization and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Organization and Summary of Significant Accounting Policies [Abstract] | |
Organization and Summary of Significant Accounting Policies | Note 1: Organization and Summary of Significant Accounting Policies Organization and Nature of Operations SB Financial Group, Inc. (“SB Financial”) is a financial holding company whose principal activity is the ownership and management of its wholly-owned subsidiaries, The State Bank and Trust Company (“State Bank”), SBFG Title, LLC dba Peak Title Agency (“SBFG Title”), SB Captive, Inc. (“SB Captive”), RFCBC, Inc. (“RFCBC”), Rurbanc Data Services, Inc. dba RDSI Banking Systems (“RDSI”), Rurban Statutory Trust II (“RST II”), and SBFG Mortgage, LLC. State Bank owns all the outstanding stock of Rurban Mortgage Company (“RMC”) and State Bank Insurance, LLC (“SBI”). The “Company” refers to SB Financial and its consolidated subsidiaries collectively, except where the context indicates the reference relates solely to the registrant, SB Financial. The Company is primarily engaged in providing a full range of banking and wealth management services to individual and corporate customers primarily located in Ohio, Indiana, and Michigan. The Company is subject to competition from other financial institutions in its market areas. The Company is regulated by certain federal and state agencies and undergoes periodic examinations by those regulatory authorities. Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company, State Bank, SBFG Title, SB Captive, RFCBC, RDSI, RMC, RST II, SBFG Mortgage, LLC, and SBI. All significant intercompany accounts and transactions were eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the ACL, loan servicing rights, and fair value of financial instruments. Significant Accounting Policies Cash Equivalents The Company considers all liquid investments with original maturities of three months or less to be cash equivalents. At December 31, 2023 and 2022, cash equivalents consisted primarily of interest-bearing and noninterest bearing demand deposit balances held by correspondent banks. At December 31, 2023, the Company’s correspondent cash accounts exceeded federally insured limits by $.4 million. Additionally, the Company had approximately $5.9 million of cash held by the Federal Reserve Bank (“FRB”) and the Federal Home Loan Bank (“FHLB”), which is not federally insured. Securities Available-for-sale securities, which include any debt security for which the Company has no immediate plan to sell but which may be sold in the future, are carried at fair value. Unrealized gains and losses are recorded, net of related income tax effects, in other comprehensive income. Amortization of premiums and accretion of discounts are recorded as interest income from securities. Realized gains and losses are recorded as net security gains (losses). Gains and losses on sales of securities are determined on the specific-identification method. The Company has made a policy election to exclude accrued interest from the amortized cost basis of securities and report accrued interest separately in other assets on the consolidated balance sheets. A security is placed on nonaccrual status at the time any principal or interest payments become more than 90 days delinquent or if full collection of interest or principal becomes uncertain. Accrued interest for a security placed on nonaccrual is reversed against interest income. There was no accrued interest related to securities reversed against interest income for the years ended December 31, 2023 or 2022. Allowance for Credit Losses – Available-for-Sale Securities For available-for-sale securities in an unrealized loss position, the Company first assesses whether it intends to sell, or it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income as a provision for credit losses. For available-for-sale securities that do not meet the aforementioned criteria, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an ACL is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Changes in the ACL are recorded as provision for (or reversal of) credit losses. Available-for-sale securities are charged-off against the allowance or, in the absence of any allowance, written down through income when deemed uncollectible by management or when either of the aforementioned criteria regarding intent or requirement to sell is met. At December 31, 2023, no ACL on available-for-sale securities was recorded. Management has made the accounting policy election to exclude accrued interest receivable on available-for-sale securities from the estimate of credit losses. Accrued interest receivable on available-for-sale debt securities totaled $0.7 million at December 31, 2023. Should the decline in fair value be the result of credit losses or other factors, the security would be moved into a nonaccrual status and all accrued interest be reversed. Mortgage Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to noninterest income. Gains and losses on loan sales are recorded in noninterest income. The Company utilizes third-party hedges to minimize the impact of interest rate risk fluctuations, and their impact is realized through noninterest income. Loans Loans that management has the intent and ability to hold for the foreseeable future, or until maturity or payoffs, are reported at their outstanding principal balances adjusted for any charge offs, the ACL, any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Interest income is reported on the interest method and includes amortization of net deferred loan fees and costs over the loan term. Generally, loans are placed on nonaccrual status not later than 90 days past due. Past due status is based on the contractual terms of the loan. All interest accrued, but not collected for loans that are placed on nonaccrual or charged off, is reversed against interest income. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Allowance for Credit Losses - Loans The ACL is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the allowance when management believes that the uncollectability of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Management estimates the ACL using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The Company measures expected credit losses for loans on a pooled basis when similar risk characteristics exist. The Company has identified the following portfolio segments: ● Commercial & Industrial ● Commercial Real Estate - Owner Occupied ● Commercial Real Estate – Nonowner Occupied ● Agricultural ● Residential Real Estate ● Home Equity Line of Credit (HELOCs) ● Consumer The Company utilizes a Discounted Cash Flow (“DCF”) method to estimate the quantitative portion of the ACL for all loan pools evaluated on a collective pooled basis, with the exception of the credit card portfolio, which was estimated using the Remaining Life Method. For each segment, a Loss Driver Analysis (“LDA”) was performed in order to identify appropriate loss drivers and create a regression model for use in forecasting cash flows. The LDA utilized the Company’s own Federal Financial Institutions Examination Council’s (“FFIEC”) Call Report data, as well as peer institution data. In creating the DCF model, the Company has established a one-year reasonable and supportable forecast period with a one-year straight line reversion to the long-term historical average. The Company’s own loan-level loss data contained within the model is being supplemented with peer data in most loan pools as there was not sufficient loan-level detail from prior cycles reflecting similar economic conditions as the forecasted loss drivers to result in a sound calculation. Key inputs into the DCF model include loan-level detail, including the amortized cost basis of individual loans, payment structure, loss history, and forecasted loss drivers. The Company utilizes data from Federal Reserve Economic Data (“FRED”) to provide economic forecasts under various scenarios, which are applied to loan pools to reflect credit risk in the current economic environment. Additional key assumptions in the DCF model include the probability of default (“PD”), loss given default (“LGD”), and prepayment/curtailment rates. When possible, the Company utilizes its own PDs for the reasonable and supportable forecast period. When it is not possible to use the Company’s own PDs, the LDA is utilized to determine PDs based on the forecasted economic factors. When possible, the Company utilizes its own LGDs for the reasonable and supportable forecast period. When it is not possible to use the Company’s own LGDs, the LGD is derived using a method referred to as Frye Jacobs. The Frye Jacobs method is a mathematical formula that traces the relationship between LGD and PD over time and projects the LGD based on the level of PD forecasted. In all cases, the Frye Jacobs method is utilized to calculate LGDs during the reversion period and long-term historical average. Benchmark prepayment and curtailment rates were used in the ACL estimate. Management also considers further adjustments to historical loss information for current conditions and reasonable and supportable forecasts that differ from the conditions that exist for the period over which historical information is evaluated as well as other changes in qualitative factors not inherently considered in the quantitative analyses. A number of factors are considered including economic forecast uncertainty, credit quality trends, valuation trends, concentration risk, quality of loan review, changes in personnel, impact of rising interest rates, external factors and other considerations. The resulting qualitative adjustments are applied to the relevant collectively evaluated loan pools. The qualitative analysis increases or decreases the allowance allocation for each loan pool based on the assessment of factors described above. During each reporting period, management also considers the need to adjust the baseline lifetime loss rates for factors that may cause expected losses to differ from those experienced in the historical loss periods. Loans that do not share risk characteristics are evaluated on an individual basis. When management determines that foreclosure is probable and the borrower is experiencing financial difficulty, the expected credit losses are based on the fair value of collateral at the reporting dated adjusted for selling costs as appropriate. The Company is also required to consider expected credit losses associated with loan commitments over the contractual period in which it is exposed to credit risk on the underlying commitments. Any allowance for off-balance sheet credit exposures is reported in Other liabilities on the Company’s consolidated balance sheet and is increased or decreased through a provision for credit loss expense on the Company’s consolidated statement of income. The calculation includes consideration of the likelihood that funding will occur and forecasted credit losses on commitments expected to be funded over their estimated lives. The allowance is calculated using the same methodology, inputs and assumptions as the funded portion of loans at the segment level applied to the amount of commitments expected to be funded. While the Company’s policies and procedures used to estimate the ACL, as well as the resultant provision for credit losses charged to income, are considered adequate by management and are reviewed periodically by regulators, model validators and internal audit, they are necessarily approximate and imprecise. There are factors beyond the Company’s control, such as changes in projected economic conditions, real estate markets or particular industry conditions, which may materially impact asset quality and the adequacy of the ACL and thus the resulting provision for credit losses. Premises and Equipment Depreciable assets are stated at cost less accumulated depreciation. Depreciation is charged to expense using the straight-line method for buildings and equipment over the estimated useful lives of the assets. Leasehold improvements are capitalized and depreciated using the straight-line method over the terms of the respective leases. Long-lived Asset Impairment The Company evaluates the recoverability of the carrying value of long-lived assets whenever events or circumstances indicate the carrying amount may not be recoverable. If a long-lived asset is tested for recoverability and the undiscounted estimated future cash flows expected to result from the use and eventual disposition of the asset is less than the carrying amount of the asset, the asset’s cost is adjusted to fair value and an impairment loss is recognized as the amount by which the carrying amount of a long-lived asset exceeds its fair value. Federal Reserve Bank (FRB) and Federal Home Loan Bank (FHLB) Stock FRB and FHLB stock are required investments for institutions that are members of the FRB and FHLB systems. The required investment in the common stock is based on a predetermined formula, carried at cost and evaluated for impairment. Foreclosed Assets and Other Assets Held for Sale Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less costs to sell at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of the carrying amount or the fair value less cost to sell. Revenue and expenses from operations related to foreclosed assets and changes in the valuation allowance are included in net income or expense from foreclosed assets. Goodwill Goodwill is tested for impairment annually or upon a triggering event. If the implied fair value of goodwill is lower than its carrying amount, goodwill impairment is indicated and goodwill is written down to its implied fair value. Core Deposits and Other Intangibles Intangible assets are being amortized on a straight-line basis over weighted-average periods ranging from one to eight years. Such assets are periodically evaluated as to the recoverability of their carrying value. Purchased software is being amortized using the straight-line method over periods ranging from one to three years. Derivatives The Company enters into forward contracts for the future delivery of mortgage loans to third-party investors and enters into interest rate lock commitments (“IRLCs”) with potential borrowers to fund specific mortgage loans that will be sold into the secondary market. The forward contracts are entered into in order to economically hedge the effect of changes in interest rates resulting from the Company’s commitment to fund the loans. The IRLCs and forward contracts are not designated as accounting hedges and are recorded at fair value with the changes in fair value reflected in noninterest income on the consolidated statements of income. The fair value of derivative instruments with a positive fair value are reported in accrued income and other assets in the consolidated balance sheets, while the derivative instruments with a negative fair value are reported in accrued expenses and other liabilities in the consolidated balance sheets. For exchange-traded contracts, fair value is based on quoted market prices. For non-exchange traded contracts, fair value is based on dealer quotes, pricing models, discounted cash flow methodologies or similar techniques for which the determination of fair value may require significant management judgment or estimation. Mortgage Servicing Rights Mortgage servicing assets are recognized separately when rights are acquired through purchase or through sale of financial assets. Under the servicing assets and liabilities accounting guidance (Accounting Standards Codification “ASC” 806-50), servicing rights from the sale or securitization of loans originated by the Company are initially measured at fair value at the date of transfer. The Company subsequently measures each class of servicing asset using the amortization method. Under the amortization method, servicing rights are amortized in proportion to and over the period of estimated net servicing income. The amortized assets are assessed for impairment based on fair value at each reporting date. Fair value is based on market prices for comparable mortgage servicing contracts, when available, or alternatively, is based on a valuation model that calculates the present value of estimated future net servicing income. The valuation model incorporates assumptions that market participants would use in estimating future net servicing income, such as the cost of service, the discount rate, the custodial earning rate, an inflation rate, ancillary income, prepayment speeds and default rates and losses. These variables change from quarter to quarter as market conditions and projected interest rates change, and may have an adverse impact on the value of the mortgage servicing right and may result in a reduction to noninterest income. Each class of separately recognized servicing assets subsequently measured using the amortization method is evaluated and measured for impairment. Impairment is determined by stratifying rights into tranches based on predominant characteristics, such as interest rate, loan type and investor type. Impairment is recognized through a valuation allowance for an individual tranche, to the extent that fair value is less than the carrying amount of the servicing assets for that tranche. The valuation allowance is adjusted to reflect changes in the measurement of impairment after the initial measurement of impairment. Changes in valuation allowances are reported with “Mortgage loan servicing fees, net” in the income statement. Fair value in excess of the carrying amount of servicing assets for that stratum is not recognized. Servicing fee income is recorded for fees earned for servicing loans. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned. The amortization of mortgage servicing rights is netted against loan servicing fee income. Share-Based Employee Compensation Plan At December 31, 2023 and 2022, the Company had a share-based employee compensation plan (see Note 18 to the Consolidated Financial Statements). Transfers of Financial Assets Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company – put presumptively beyond the reach of the transferor and its creditors, even in bankruptcy or other receivership, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before the maturity or the ability to unilaterally cause the holder to return specific assets. Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (ASC 740). The income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. Uncertain tax positions are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the term “upon examination” also includes resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. The Company recognizes interest and penalties on income taxes as a component of income tax expense. The Company files consolidated income tax returns with its subsidiaries. With a few exceptions, the Company is no longer subject to U.S. Federal, State and Local examinations by tax authorities for the years before 2020. As of December 31, 2023, the Company had no uncertain income tax positions. Treasury Shares Treasury stock is stated at cost. Cost is determined by the weighted-average cost method. Earnings Per Share Earnings per share (“EPS”) is computed using the two-class method. Basic EPS represent income available to common shareholders divided by the weighted-average number of common shares outstanding during each period. Diluted EPS reflect additional potential common shares that may be issued by the Company related solely to outstanding stock options or awards which are determined using the treasury stock method. Treasury stock shares are not deemed outstanding for EPS calculations. Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other comprehensive income (loss), net of applicable income taxes. Other comprehensive income (loss) includes unrealized appreciation (depreciation) on available-for-sale securities. AOCI consists solely of the cumulative unrealized gains and losses on available-for-sale securities net of income tax. Subordinated Debt At December 31, 2023, the Company had subordinated debt obligations of $20.0 million related to its 3.65% Fixed to Floating Rate Subordinated Notes due 2031, which were issued and sold by the Company on May 27, 2021. The Subordinated Notes were issued in order to provide additional funds for various corporate obligations of the Company, including share buybacks, acquisition costs and organic asset growth (see Note 13 to the Consolidated Financial Statements). Revenue Recognition The Company recognizes revenues as they are earned based on contractual terms, as transactions occur, or services are provided and collectability is reasonably assured. The Company’s principal source of revenue is interest income from loans and leases and investment securities. The Company also earns noninterest income from various banking and financial services offered through State Bank. Interest income is the largest source of revenue for the Company and is primarily recognized on an accrual basis. Noninterest income is earned through a variety of financial and transaction services provided to corporate and consumer clients such as trust and wealth advisory, deposit account, debit card, mortgage banking and title insurance. Adoption of New Accounting Standards: ASU No. 2016-13: Financial Instruments – Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments On January 1, 2023, the Company adopted ASU 2016-13 - Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) (“ASC 326”) as amended. The new accounting guidance in this ASU replaces the incurred loss methodology with an expected loss methodology, which is referred to as the current expected credit loss (“CECL”) methodology. The CECL methodology is applicable to the measurement of credit losses on financial assets measured at amortized cost, including loan receivables and held-to-maturity (“HTM”) debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments that are noncancellable), and net investments in leases recognized by a lessor. The CECL methodology requires an entity to estimate credit losses over the life of an asset or off-balance sheet credit exposure. In addition, CECL made changes to the accounting for available-for-sale debt securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale debt securities if management determines that the Company does not intend to sell and it is more likely than not, that the Company will not be required to sell the securities. The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and off-balance sheet credit exposures. Results for reporting periods beginning on or after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. The transition adjustment of the CECL adoption included an increase in the ACL of $1.4 million and an increase of $1.1 million to establish a reserve for unfunded commitments, with a $2.0 million decrease to retained earnings, and $0.5 million of deferred tax being recorded as part of the deferred tax asset in the Company’s consolidated balance sheet. The following table details the impact of the adoption of ASC 326: January 1, 2023 ($ in thousands) Pre-ASC 326 adoption Impact of As reported Cummulative Effect on Retained Earnings Allowance for credit loss on loans Commercial & industrial $ 1,663 $ 230 $ 1,893 $ 182 Commercial real estate - owner occupied 1,696 54 1,750 43 Commercial real estate - nonowner occupied 4,584 1,015 5,599 801 Agricultural 611 (194 ) 417 (153 ) Residential real estate 4,438 360 4,798 284 Home equity line of credit (HELOC) 547 (76 ) 471 (60 ) Consumer 279 (17 ) 262 (13 ) Total ACL on loans $ 13,818 $ 1,372 $ 15,190 $ 1,084 ACL on off-balance sheet commitments $ - $ 1,149 $ 1,149 $ 907 ASU No. 2022-02: Financial Instruments – Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures On January 1, 2023, the Company adopted ASU 2022-02 Financial Instruments - Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures, which removed the existing measurement and disclosure requirements for loans considered to be Troubled Debt Restructurings (“TDRs”) and added additional disclosure requirements related to modifications provided to borrowers experiencing financial difficulty. Prior to adoption of ASU 2022-02, a change in contractual terms of a loan where a borrower was experiencing financial difficulty and received a concession not available through other sources was required to be disclosed as a TDR, whereas now a borrower that is experiencing financial difficulty and receives a modification in the form of principal forgiveness, interest rate reduction, an other-than-insignificant payment delay or a term extension in the current period needs to be disclosed. The amendment was adopted prospectively and had no impact on the Company’s consolidated financial statements aside from additional and revised financial statement disclosures (See Note 4 to the Consolidated Financial Statements). ASU No. 2020-04: Reference Rate Reform – Facilitation of the Effects of Reference Rate Reform on Financial Reporting (Topic 848) This guidance provides temporary options to ease the potential burden in accounting for reference rate reform. It is intended to help stakeholders during the global market-wide reference rate transition period. The guidance is effective as of March 12, 2020 through December 31, 2022. However, a deferral of the implementation of the Reference Rate Reform was issued in December of 2022, which extends the implementation to December 31, 2024. The Company has implemented a replacement for the reference rate and has determined that the changes did not have a material impact on the Company’s consolidated financial statements. ASU No. 2023-02: Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (ASU 2023-02). This ASU permits reporting entities to elect to account for their tax equity investments, regardless of the tax credit program from which the income tax credits are received, using the proportional amortization if certain conditions are met. A reporting entity makes an accounting policy election to apply the proportional amortization method on a tax-credit-by-tax-credit-program basis rather than electing to apply the proportional amortization method at the reporting entity level or to individual investments. The Company adopted the standard using a modified retrospective transition approach to the amendments related to our low income housing tax credit (“LIHTC”) investments that are eligible to apply proportional amortization. The adoption of this standard did not have a material effect on the Company’s operating results or financial condition. Accounting Standards not yet adopted: ASU No. 2023-09: Income Taxes (Topic 740): Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” The amendments in this update address investor requests for more transparency about income tax information through improvements to income tax disclosures, primarily related to effective tax rate reconciliation and information related to income taxes paid, among certain other amendments to improve the effectiveness of such disclosures. The amendm |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 2: Earnings Per Share EPS is computed using the two-class method. Basic EPS is computed by dividing net income available to common shareholders by the weighted-average number of common shares outstanding during the applicable period, excluding participating securities. Participating securities include non-vested restricted stock awards. Non-vested restricted stock awards are considered participating securities to the extent the holders of these securities receive non-forfeitable dividends at the same rate as holders of common shares. Diluted EPS is computed using the weighted-average number of shares determined for the basic EPS plus the dilutive effect of stock compensation using the treasury stock method. EPS for the years ended December 31, 2023 and 2022 is computed as follows: Twelve Months Ended ($ and outstanding shares in thousands - except per share data) 2023 2022 Distributed earnings allocated to common shares $ 3,584 $ 3,412 Undistributed earnings allocated to common shares 8,482 9,082 Net earnings allocated to common shares 12,066 12,494 Net earnings allocated to participating securities 29 27 Net Income allocated to common shares and participating securities $ 12,095 $ 12,521 Weighted average shares outstanding for basic earnings per share 6,829 7,005 Dilutive effect of stock compensation 88 73 Weighted average shares outstanding for diluted earnings per share 6,917 7,078 Basic earnings per common share $ 1.77 $ 1.79 Diluted earnings per common share $ 1.75 $ 1.77 There were no anti-dilutive shares in 2023 or 2022. On January 10, 2022, the Company announced that its board of directors had declared a 5 percent common stock dividend payable on February 4, 2022, to shareholders of record as of January 21, 2022. Holders of the Company’s common shares as of the record date received one additional common share for every twenty common shares held on the record date. No fractional shares were issued, and shareholders received cash for such fractional interests based on the closing price of $19.89 of the Company’s common shares on the record date. |
Available-for-Sale Securities
Available-for-Sale Securities | 12 Months Ended |
Dec. 31, 2023 | |
Available-for-Sale Securities [Abstract] | |
Available-for-Sale Securities | Note 3: Available-for-Sale Securities The amortized cost and appropriate fair values, together with gross unrealized gains and losses, of available-for-sale securities are as follows: Gross Gross Amortized Unrealized Unrealized ($ in thousands) Cost Gains Losses Fair Value December 31, 2023 U.S. Treasury and Government agencies $ 7,339 $ 1 $ (823 ) $ 6,517 Mortgage-backed securities 221,717 3 (32,853 ) 188,867 State and political subdivisions 11,212 8 (1,322 ) 9,898 Other corporate securities 17,200 - (2,774 ) 14,426 Totals $ 257,468 $ 12 $ (37,772 ) $ 219,708 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value December 31, 2022 U.S. Treasury and Government agencies $ 7,636 $ - $ (872 ) $ 6,764 Mortgage-backed securities 241,741 4 (35,910 ) 205,835 State and political subdivisions 12,862 10 (1,769 ) 11,103 Other corporate securities 17,200 - (2,122 ) 15,078 Totals $ 279,439 $ 14 $ (40,673 ) $ 238,780 The amortized cost and fair value of securities available-for-sale at December 31, 2023, by contractual maturity, are shown below. Expected maturities differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair ($ in thousands) Cost Value Within one year $ 809 $ 800 Due after one year through five years 1,903 1,839 Due after five years through ten years 24,483 20,824 Due after ten years 8,556 7,378 35,751 30,841 Mortgage-backed securities 221,717 188,867 Totals $ 257,468 $ 219,708 The fair value of securities pledged as collateral, to secure public deposits and for other purposes, was $89.7 million at December 31, 2023, and $53.9 million at December 31, 2022. Securities delivered for repurchase agreements (not included above) were $19.7 million at December 31, 2023 and $17.8 million at December 31, 2022. During the 4th quarter of 2023, the Company sold all of the equity shares it owned in Visa Class “B” shares. As a result of this sale, the Company no longer owns any Visa Class B shares. The carrying value of the Visa Class B shares on the Company’s balance sheet was nominal as the Company had a historical cost basis of $0.01 per share. After transaction costs, the Company realized a pre-tax gain on the sale of $1.45 million. Certain investments in debt securities are reported in the financial statements at an amount less than their historical cost. There were 139 securities and 144 securities reported with amounts less than their historical value at December 31, 2023 and 2022, respectively. Total fair value of these investments was $217.0 million and $235.5 million at December 31, 2023 and 2022, respectively, which was approximately 99 percent and 99 percent, respectively, of the Company’s available-for-sale investment portfolio. The following tables present securities with unrealized losses at December 31, 2023 and 2022: ($ in thousands) Less than 12 Months 12 Months or Longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2023 U.S. Treasury and Government agencies $ - $ - $ 6,022 $ (823 ) $ 6,022 $ (823 ) Mortgage-backed securities - - 188,508 (32,853 ) 188,508 (32,853 ) State and political subdivisions - - 8,541 (1,322 ) 8,541 (1,322 ) Other corporate securities - - 13,926 (2,774 ) 13,926 (2,774 ) Totals $ - $ - $ 216,997 $ (37,772 ) $ 216,997 $ (37,772 ) Less than 12 Months 12 Months or Longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2022 U.S. Treasury and Government agencies $ 3,788 $ (452 ) $ 2,974 $ (420 ) $ 6,762 $ (872 ) Mortgage-backed securities 52,351 (5,234 ) 153,055 (30,676 ) 205,406 (35,910 ) State and political subdivisions 7,461 (1,370 ) 1,268 (399 ) 8,729 (1,769 ) Other corporate securities 12,015 (1,736 ) 2,564 (386 ) 14,579 (2,122 ) Totals $ 75,615 $ (8,792 ) $ 159,861 $ (31,881 ) $ 235,476 $ (40,673 ) Based on evaluation of available evidence, including recent changes in market interest rates, credit rating information and information obtained from regulatory filings, management believes the declines in fair value for these securities are temporary. Management reviews these securities on a quarterly basis and evaluates if any security has a fair value less than its amortized cost. Once these securities are identified, management determines whether a decline in fair value resulted from a credit loss or other factors. In making the assessment, the Company may consider various factors including the extent to which fair value is less than amortized cost, performance on any underlying collateral, downgrades in the ratings of the security by a rating agency, the failure of the issuer to make scheduled interest or principal payments and adverse conditions specifically related to the security. If the assessment indicates that a credit loss exists, a provision is recorded to the ACL. |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2023 | |
Loans and Allowance for Credit Losses [Abstract] | |
Loans and Allowance for Credit Losses | Note 4: Loans and Allowance for Credit Losses The following tables present the categories of loans at December 31, 2023 and 2022: Total Loans ($ in thousands) 2023 2022 Commercial & industrial $ 126,716 $ 128,393 Commercial real estate - owner occupied 126,717 110,929 Commercial real estate - nonowner occupied 297,323 301,880 Agricultural 65,659 64,505 Residential real estate 318,123 291,368 Home equity line of credit (HELOC) 47,845 45,056 Consumer 17,829 19,944 Total loans 1,000,212 962,075 Allowance for credit losses (15,786 ) (13,818 ) Loans, net $ 984,426 $ 948,257 The Company makes commercial, agri-business, consumer and residential loans to customers throughout its defined market area. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since a portion of the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Each customer’s creditworthiness is evaluated on a case-by-case basis. The amount of collateral obtained, if deemed necessary, is based on management’s credit evaluation of the customer. Collateral held varies, but may include accounts receivable, inventory, property, plant and equipment, commercial real estate and residential real estate. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements, including commercial paper, bond financing and similar transactions. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Listed below is a summary of loan commitments, unused lines of credit, and standby letters of credit as of December 31, 2023 and 2022. ($ in thousands) 2023 2022 Loan commitments and unused lines of credit $ 201,605 $ 221,668 Standby letters of credit 1,184 1,336 Totals $ 202,789 $ 223,004 The risk characteristics of each loan portfolio segment are as follows: Commercial & Industrial and Agricultural Commercial & industrial and agricultural loans are primarily based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The cash flows of borrowers, however, may not be as expected and the collateral securing these loans may fluctuate in value. Most commercial loans are secured by the assets being financed or other business assets, such as accounts receivable or inventory, and may include a personal guarantee. Short-term loans may be made on an unsecured basis. In the case of loans secured by accounts receivable, the availability of funds for the repayment of these loans may be substantially dependent on the ability of the borrower to collect amounts due from its customers. Commercial Real Estate (Owner and Nonowner Occupied) Commercial real estate loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial real estate lending typically involves higher loan principal amounts and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Commercial real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. The characteristics of properties securing the Company’s commercial real estate portfolio are diverse, but with geographic location almost entirely in the Company’s market area. Management monitors and evaluates commercial real estate loans based on collateral, geography and risk grade criteria. In general, the Company avoids financing single purpose projects unless other underwriting factors are present to help mitigate risk. In addition, management tracks the level of owner-occupied commercial real estate versus non-owner-occupied loans. Construction loans are underwritten utilizing feasibility studies, independent appraisal reviews and financial analysis of the developers and property owners. Construction loans are generally based on estimates of costs and value associated with the completed project. These estimates may be inaccurate. Construction loans often involve the disbursement of substantial funds with repayment substantially dependent on the success of the ultimate project. Sources of repayment for these types of loans may be pre-committed permanent loans from approved long-term lenders, sales of developed property or an interim loan commitment from the Company until permanent financing is obtained. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, governmental regulation of real property, general economic conditions and the availability of long-term financing. Residential Real Estate, Home Equity Line of Credit (“HELOC”) and Consumer Residential and consumer loans consist of two segments – residential mortgage loans and personal loans. Residential mortgage loans are secured by 1-4 family residences and are generally owner-occupied, and the Company generally establishes a maximum loan-to-value ratio and requires private mortgage insurance if that ratio is exceeded. HELOCs are typically secured by a subordinate interest in 1-4 family residences, and consumer personal loans are secured by consumer personal assets, such as automobiles or recreational vehicles. Some consumer personal loans are unsecured, such as small installment loans and certain lines of credit. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas, such as unemployment levels. Repayment can also be impacted by changes in property values on residential properties. Risk is mitigated by the fact that these loans are of smaller individual amounts and spread over a large number of borrowers. Allowance for Credit Losses (ACL) The ACL is an estimate of the expected credit losses on financial assets measured at amortized cost, which is measured using relevant information about past events, including historical credit loss experience on financial assets with similar risk characteristics, current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the financial assets. A provision for credit losses is charged to operations based on management’s periodic evaluation of these and other pertinent factors. As a result of the adoption of ASC 326, the Company recorded a $1.4 million increase to the ACL as a cumulative-effect adjustment on January 1, 2023. The following table summarizes the activity related to the ACL for the twelve months ended December 31, 2023 under the CECL methodology. ($ in thousands) Balance, Impact of Chargeoffs Recoveries Provision for Balance, end Commercial & industrial $ 1,663 $ 230 $ - $ - $ 110 $ 2,003 Commercial real estate - owner occupied 1,696 54 - - 202 1,952 Commercial real estate - nonowner occupied 4,584 1,015 - - 119 5,718 Agricultural 611 (194 ) - - 23 440 Residential real estate 4,438 360 (53 ) 1 190 4,936 HELOC 547 (76 ) - - 39 510 Consumer 279 (17 ) (65 ) 25 5 227 Total $ 13,818 $ 1,372 $ (118 ) $ 26 $ 688 $ 15,786 Prior to the adoption of ASC 326 on January 1, 2023, the Company calculated the ACL under the incurred loss methodology. The following table contains disclosures related to the ACL for the year ended December 31, 2022 under this methodology. ($ in thousands) Balance, Impact of Chargeoffs Recoveries Provision for Balance, end Commercial & industrial $ 1,890 $ - $ - $ - $ (227 ) $ 1,663 Commercial real estate - owner occupied 2,564 - - - (868 ) 1,696 Commercial real estate - nonowner occupied 4,217 - - - 367 4,584 Agricultural 599 - - - 12 611 Residential real estate 3,515 - - - 923 4,438 HELOC 579 - (34 ) 47 (45 ) 547 Consumer 441 - - - (162 ) 279 Total $ 13,805 $ - $ (34 ) $ 47 $ - $ 13,818 The following table presents gross chargeoffs for the year ended December 31, 2023 by loan category and origination year. ($ in thousands) Term Loans by Year of Origination Revolving December 31, 2023 2023 2022 2021 2020 2019 Prior Loans Total Commercial & industrial $ - $ - $ - $ - $ - $ - $ - $ - Commercial real estate - owner occupied - - - - - - - - Commercial real estate - nonowner occupied - - - - - - - - Agricultural - - - - - - - - Residential real estate - - 32 21 - - - 53 Home equity line of credit (HELOC) - - - - - - - - Consumer - 12 8 11 - - 34 65 $ - $ 12 $ 40 $ 32 $ - $ - $ 34 $ 118 Collateral dependent loans are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral and the borrower is experiencing financial difficulty. The Company reviews individually evaluated loans for designation as collateral dependent loans, as well as other loans that management of the Company designates as having higher risk. These loans do not share common risk characteristics and are not included within the collectively evaluated loans for determining the ACL. The following table presents an analysis of collateral-dependent loans of the Company as of December 31, 2023. ($ in thousands) Collateral Type Allocated December 31, 2023 Real Estate Other Total Allowance Commercial & industrial $ 604 $ - $ 604 $ 97 Commercial real estate - owner occupied - - - - Commercial real estate - nonowner occupied 284 - 284 40 Agricultural - - - - Residential real estate 1,023 - 1,023 18 HELOC - - - - Consumer - - - - Total $ 1,911 $ - $ 1,911 $ 155 Under CECL, for collateral dependent loans, the Company has adopted the practical expedient to measure the ACL based on the fair value of collateral. The ACL is calculated on an individual loan basis based on the shortfall between the fair value of the loan’s collateral, which is adjusted for liquidation costs/discounts, and amortized cost. If the fair value of the collateral exceeds the amortized cost, no allowance is required. The following table disaggregates the allowance for loan losses and recorded investment in loans by impairment methodology under the incurred loss methodology as of December 31, 2022. December 31, 2022 Commercial & industrial Commercial real estate Agricultural Residential real estate Consumer Total Allowance for loan losses: Ending allowance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ 138 $ 2 $ 140 Collectively evaluated for impairment $ 1,663 $ 6,280 $ 611 $ 4,300 $ 824 $ 13,678 Totals $ 1,663 $ 6,280 $ 611 $ 4,438 $ 826 $ 13,818 Loans: Individually evaluated for impairment $ 204 $ 347 $ - $ 2,863 $ 114 $ 3,528 Collectively evaluated for impairment $ 128,189 $ 412,462 $ 64,505 $ 288,505 $ 64,886 $ 958,547 Totals $ 128,393 $ 412,809 $ 64,505 $ 291,368 $ 65,000 $ 962,075 Credit Risk Profile The Company categorizes loans into risk categories (loan grades) based on relevant information about the ability of borrowers to service their debt such as current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis includes loans with an outstanding balance greater than $100,000 and non-homogeneous loans, such as commercial and commercial real estate loans. This analysis is performed on a quarterly basis. The Company uses the following definitions for risk ratings: Pass (grades 1 – 4): Special Mention (grade 5): Substandard (grade 6): Doubtful (grade 7): Loss (grade 8): The Company evaluates the loan risk grading system definitions and allowance for credit loss methodology on an ongoing basis. The following table presents loan balances by credit quality indicators by year of origination as of December 31, 2023. ($ in thousands) Term Loans by Year of Origination Revolving Revolving Loans Converted December 31, 2023 2023 2022 2021 2020 2019 Prior Loans to Term Total Commercial & industrial Pass (1 - 4) $ 17,239 $ 18,076 $ 19,143 $ 10,573 $ 7,449 $ 5,965 $ 45,831 $ 444 $ 124,720 Special Mention (5) - 731 - 64 - 140 201 - 1,136 Substandard (6) - 41 - - 25 137 - 80 283 Doubtful (7) 195 - 226 - 1 100 50 5 577 Loss (8) - - - - - - - - - Total $ 17,434 $ 18,848 $ 19,369 $ 10,637 $ 7,475 $ 6,342 $ 46,082 $ 529 $ 126,716 Commercial real estate - owner occupied Pass (1 - 4) $ 29,253 $ 21,427 $ 26,808 $ 12,931 $ 12,881 $ 20,409 $ 112 $ 173 $ 123,994 Special Mention (5) - - - 2,338 358 - - - 2,696 Substandard (6) - - - - - - - - - Doubtful (7) - - 26 - 1 - - - 27 Loss (8) - - - - - - - - - Total $ 29,253 $ 21,427 $ 26,834 $ 15,269 $ 13,240 $ 20,409 $ 112 $ 173 $ 126,717 Commercial real estate - nonowner occupied Pass (1 - 4) $ 52,915 $ 67,285 $ 47,658 $ 46,364 $ 30,561 $ 47,895 $ 2,377 $ - $ 295,055 Special Mention (5) - - - - 838 1,134 - - 1,972 Substandard (6) - - - - - 154 18 - 172 Doubtful (7) - - - - - 124 - - 124 Loss (8) - - - - - - - - - Total $ 52,915 $ 67,285 $ 47,658 $ 46,364 $ 31,399 $ 49,307 $ 2,395 $ - $ 297,323 Agricultural Pass (1 - 4) $ 9,496 $ 16,131 $ 12,940 $ 3,029 $ 1,859 $ 9,801 $ 12,403 $ - $ 65,659 Special Mention (5) - - - - - - - - - Substandard (6) - - - - - - - - - Doubtful (7) - - - - - - - - - Loss (8) - - - - - - - - - Total $ 9,496 $ 16,131 $ 12,940 $ 3,029 $ 1,859 $ 9,801 $ 12,403 $ - $ 65,659 Residential real estate Pass (1 - 4) $ 53,013 $ 110,531 $ 85,075 $ 31,558 $ 10,425 $ 22,564 $ 1,816 $ 1,300 $ 316,282 Special Mention (5) - - - - - - - - - Substandard (6) - - 361 54 485 920 - - 1,820 Doubtful (7) - - - - - 21 - - 21 Loss (8) - - - - - - - - - Total $ 53,013 $ 110,531 $ 85,436 $ 31,612 $ 10,910 $ 23,505 $ 1,816 $ 1,300 $ 318,123 Home equity line of credit (HELOC) Pass (1 - 4) $ - $ - $ 46 $ 18 $ 85 $ 94 $ 40,932 $ 6,492 $ 47,667 Special Mention (5) - - - - - 59 20 99 178 Substandard (6) - - - - - - - - - Doubtful (7) - - - - - - - - - Loss (8) - - - - - - - - - Total $ - $ - $ 46 $ 18 $ 85 $ 153 $ 40,952 $ 6,591 $ 47,845 Consumer Pass (1 - 4) $ 3,296 $ 5,142 $ 1,429 $ 740 $ 221 $ 128 $ 6,863 $ - $ 17,819 Special Mention (5) - - - 1 - - - - 1 Substandard (6) - 9 - - - - - - 9 Doubtful (7) - - - - - - - - - Loss (8) - - - - - - - - - Total $ 3,296 $ 5,151 $ 1,429 $ 741 $ 221 $ 128 $ 6,863 $ - $ 17,829 Total Loans Pass (1 - 4) $ 165,212 $ 238,592 $ 193,099 $ 105,213 $ 63,481 $ 106,856 $ 110,334 $ 8,409 $ 991,196 Special Mention (5) - 731 - 2,403 1,196 1,333 221 99 5,983 Substandard (6) - 50 361 54 510 1,211 18 80 2,284 Doubtful (7) 195 - 252 - 2 245 50 5 749 Loss (8) - - - - - - - - - Total Loans $ 165,407 $ 239,373 $ 193,712 $ 107,670 $ 65,189 $ 109,645 $ 110,623 $ 8,593 $ 1,000,212 The following table presents loan balances by credit quality indicators and loan categories as of December 31, 2022. ($ in thousands) Commercial Commercial Commercial Agricultural Residential HELOC Consumer Total Pass (1 - 4) $ 127,727 $ 107,999 $ 296,611 $ 64,505 $ 288,028 $ 44,746 $ 19,915 $ 949,531 Special Mention (5) 394 2,930 4,899 - - - - 8,223 Substandard (6) 158 - 160 - 3,316 310 29 3,973 Doubtful (7) 114 - 210 - 24 - - 348 Loss (8) - - - - - - - - Total Loans $ 128,393 $ 110,929 $ 301,880 $ 64,505 $ 291,368 $ 45,056 $ 19,944 $ 962,075 The following tables present the Company’s loan portfolio aging analysis as of December 31, 2023 and 2022: ($ in thousands) 30-59 Days 60-89 Days Greater Than Total December 31, 2023 Past Due Past Due Past Due Due Current Total Loans Commercial & industrial $ 26 $ - $ 658 $ 684 $ 126,032 $ 126,716 Commercial real estate - owner occupied - - - - 126,717 126,717 Commercial real estate - nonowner occupied - - 29 29 297,294 297,323 Agricultural - - - - 65,659 65,659 Residential real estate - 222 395 617 317,506 318,123 HELOC - 8 67 75 47,770 47,845 Consumer 88 33 1 122 17,707 17,829 Total Loans $ 114 $ 263 $ 1,150 $ 1,527 $ 998,685 $ 1,000,212 30-59 Days 60-89 Days Greater Than Total December 31, 2022 Past Due Past Due Past Due Due Current Total Loans Commercial & industrial $ 23 $ 108 $ 114 $ 245 $ 128,148 $ 128,393 Commercial real estate - owner occupied - - - - 110,929 110,929 Commercial real estate - nonowner occupied 114 - 32 146 301,734 301,880 Agricultural - - - - 64,505 64,505 Residential real estate 98 411 1,287 1,796 289,572 291,368 HELOC 98 24 138 260 44,796 45,056 Consumer 61 26 22 109 19,835 19,944 Total Loans $ 394 $ 569 $ 1,593 $ 2,556 $ 959,519 $ 962,075 All loans past due 90 days are systematically placed on nonaccrual status. When a loan is moved to nonaccrual status, total unpaid interest accrued to date is reversed from income. Subsequent payments are applied to the outstanding principal balance with the interest portion of the payment recorded on the balance sheet as a contra-loan. Interest received on nonaccrual loans may be realized once all contractual principal amounts are received or when a borrower establishes a history of six consecutive timely principal and interest payments. It is at the discretion of management to determine when a loan is placed back on accrual status upon receipt of six consecutive timely payments. The categories of nonaccrual loans as of December 31, 2023 and December 31, 2022 are presented in the following table. 2023 2022 ($ in thousands) Nonaccrual loans with no allowance Nonaccrual loans with an allowance Total nonaccrual loans Total nonaccrual loans Commercial & industrial $ 651 $ 97 $ 748 $ 114 Commercial real estate - owner occupied 26 - 26 - Commercial real estate - nonowner occupied 141 - 141 210 Agricultural - - - - Residential real estate 1,694 18 1,712 3,020 Home equity line of credit (HELOC) 180 - 180 310 Consumer 11 - 11 28 Total loans $ 2,703 $ 115 $ 2,818 $ 3,682 Impaired Loans (Prior to the Adoption of ASC 326) Prior to the adoption of ASU 2016-13, a loan was considered impaired when, based on current information and events, it was probable that the Company would be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment included payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Loans that experienced insignificant payment delays and payment shortfalls generally were not classified as impaired. Management determined the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration each of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment was measured on a loan-by-loan basis for commercial, agricultural, and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogenous loans were collectively evaluated for impairment. Accordingly, the Company did not separately identify individual consumer and residential loans for impairment measurements, unless such loans were the subject of a restructuring agreement due to financial difficulties of the borrower. Impaired loans less than $100,000 were included in groups of homogenous loans. These loans were evaluated based on delinquency status. Interest payments on impaired loans were typically applied to principal unless collectability of the principal amount was reasonably assured, in which case interest was recognized on a cash basis. The following table presents impaired loan activity for the twelve months ended December 31, 2022: ($ in thousands) Recorded Unpaid Principal Related Average Recorded Interest Income Twelve Months Ended December 31, 2022 Investment Balance Allowance Investment Recognized With no related allowance recorded: Commercial & industrial $ 204 $ 627 $ - $ 650 $ 34 Commercial real estate - owner occupied - - - - - Commercial real estate - nonowner occupied 347 825 - 1,350 94 Agricultural - - - - - Residential real estate 1,491 1,558 - 1,793 65 HELOC 68 68 85 4 Consumer - - - - - With a specific allowance recorded: Commercial & industrial - - - - - Commercial real estate - owner occupied - - - - - Commercial real estate - nonowner occupied - - - - - Agricultural - - - - - Residential real estate 1,372 1,372 138 1,424 43 HELOC 46 46 2 51 2 Consumer - - - - - Totals: Commercial & industrial $ 204 $ 627 $ - $ 650 $ 34 Commercial real estate - owner occupied $ - $ - $ - $ - $ - Commercial real estate - nonowner occupied $ 347 $ 825 $ - $ 1,350 $ 94 Agricultural $ - $ - $ - $ - $ - Residential real estate $ 2,863 $ 2,930 $ 138 $ 3,217 $ 108 HELOC $ 114 $ 114 $ 2 $ 136 $ 6 Consumer $ - $ - $ - $ - $ - Modifications made to Borrowers Experiencing Financial Difficulty In the normal course of business, the Company may execute loan modifications with borrowers. These modifications are analyzed to determine whether the modification is considered concessionary, long term and made to a borrower experiencing financial difficulty. The Company’s modifications generally include interest rate adjustments, principal reductions, and amortization and maturity date extensions. These modifications provide the borrowers with short-term cash relief to allow them to improve their financial condition. If a loan modification is determined to be made to a borrower experiencing financial difficulty, the loan is considered collateral dependent and evaluated as part of the ACL as described above in the Allowance for Credit Losses section of this Note. For the twelve months ended December 31, 2023, the Company did not modify any loans made to borrowers experiencing financial difficulty. The Company had no commitments to lend to borrowers experiencing financial difficulty for which the Company had modified an existing loan as of December 31, 2023. Prior to the adoption of ASU 2022-02, the Company reported Troubled Debt Restructured loans (“TDRs”). TDRs are modified loans where a concession was provided to a borrower experiencing financial difficulties. Loan modifications are considered TDRs when the concessions provided are not available to the borrower through either normal channels or other sources. There were no new TDRs during the period ended December 31, 2022. The Company monitors loan payments on an on-going basis to determine if a loan is considered to have a payment default. Determination of payment default involves analyzing the economic conditions that exist for each customer and its ability to generate positive cash flows during the loan term. For the twelve-month period ended December 31, 2023, the Company had no loan modifications made to borrowers experiencing financial difficulty for which there was a payment default within the 12 months following the modification date. Unfunded Loan Commitments The Company maintains an allowance for off-balance sheet credit exposures such as unfunded balances for existing lines of credit, commitments to extend future credit, as well as both standby and commercial letters of credit when there is a contractual obligation to extend credit and when this extension of credit is not unconditionally cancellable (i.e. commitment cannot be canceled at any time). The allowance for off-balance sheet credit exposures is adjusted as a provision for credit loss expense. The estimate includes consideration of the likelihood that funding will occur, which is based on a historical funding study derived from internal information, and an estimate of expected credit losses on commitments expected to be funded over its estimated life, which are the same loss rates that are used in computing the ACL for loans. The ACL for unfunded loan commitments is classified on the balance sheet within Other liabilities. The following table presents the balance and activity in the ACL for unfunded loan commitments for the twelve months ended December 31, 2023 and 2022. ($ in thousands) 2023 2022 Balance, beginning of period $ - $ - Adjustment for adoption of ASU 2016-13 1,149 - Provision for unfunded commitments (373 ) - Balance, end of period $ 776 $ - Related Party Loans Loans to directors and their related interests, including loans to companies for which directors are principal owners and executive officers are presented in the following table at December 31: ($ in thousands) 2023 2022 Balance at beginning of period $ 521 $ 521 Effect of change in compostioin of directors and executive officers - 112 New Term Loans - - Repayment of term loans (144 ) (53 ) Changes in balances of revolving lines of credit 58 (59 ) Balance at end of period $ 435 $ 521 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2023 | |
Premises and Equipment [Abstract] | |
Premises and Equipment | Note 5: Premises and Equipment Major classifications of premises and equipment stated at cost were as follows at December 31: ($ in thousands) 2023 2022 Land $ 3,563 $ 3,563 Buildings and improvements 27,663 27,699 Equipment 15,842 14,315 Construction in process 167 879 47,235 46,456 Less accumulated depreciation (25,857 ) (23,627 ) Net premises and equipment $ 21,378 $ 22,829 |
Goodwill and Intangibles
Goodwill and Intangibles | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangibles [Abstract] | |
Goodwill and Intangibles | Note 6: Goodwill and Intangibles The balance of goodwill was $23.2 million for the twelve months ended December 31, 2023 and December 31, 2022. 2023 2022 ($ in thousands) Carrying Amount Carrying Amount Beginning balance $ 23,239 $ 23,191 Measurement period adjustments - 48 Ending balance $ 23,239 $ 23,239 Impairment exists when a reporting unit’s carrying value of goodwill exceeds its fair value. Goodwill is tested on the last day of the last quarter of each calendar year. The Company performed a quantitative analysis of goodwill as of September 30, 2023, and determined that no impairment was required. At December 31, 2023, the Company determined that no events had occurred to change the assessment from the quantitative analysis and it was more likely than not that the fair value of the reporting unit exceeded its carrying value, including goodwill. The qualitative assessment indicated that it was more likely than not that the fair value of the reporting unit exceeded its carrying value, resulting in no impairment. Carrying basis and accumulated amortization of intangible assets were as follows at December 31: 2023 2022 Gross Carrying Accumulated Gross Carrying Accumulated ($ in thousands) Amount Amortization Amount Amortization Core deposits intangible $ 660 $ (236 ) $ 660 $ (170 ) Customer relationship intangible 200 (200 ) 200 (176 ) Banking intangibles $ 860 $ (436 ) $ 860 $ (346 ) Amortization expense for intangibles for the years ended December 31, 2023 and 2022 was $0.09 million and $0.07 million, respectively. Estimated amortization expense for each of the following five years is immaterial. |
Mortgage Banking and Servicing
Mortgage Banking and Servicing Rights | 12 Months Ended |
Dec. 31, 2023 | |
Mortgage Banking and Servicing Rights [Abstract] | |
Mortgage Banking and Servicing Rights | Note 7: Mortgage Banking and Servicing Rights Mortgage loans serviced for others are not included in the accompanying consolidated balance sheets. The unpaid principal balance of mortgage loans serviced for others approximated $1.4 billion at both December 31, 2023 and 2022. Contractually specified servicing fees of approximately $3.4 million and $3.2 million were included in mortgage loan servicing fees in the consolidated income statement for the years ended December 31, 2023 and 2022, respectively. The following table summarizes mortgage servicing rights capitalized and related amortization, along with activity in the related valuation allowance at December 31: ($ in thousands) 2023 2022 Carrying amount, beginning of year $ 13,503 $ 12,034 Mortgage servicing rights capitalized during the year 1,695 1,939 Mortgage servicing rights amortization during the year (1,242 ) (1,749 ) Net change in valuation allowance (50 ) 1,279 Carrying amount, end of year $ 13,906 $ 13,503 Valuation allowance: Beginning of year $ 177 $ 1,456 Increase (reduction) 50 (1,279 ) End of year $ 227 $ 177 Fair value, beginning of period $ 15,754 $ 12,629 Fair value, end of period $ 17,125 $ 15,754 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Financial Instruments [Abstract] | |
Derivative Financial Instruments | Note 8: Derivative Financial Instruments The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company manages its exposures to a wide variety of business and operational risks primarily through management of its core business activities. The Company manages economic risks, including interest rate, liquidity and credit risk, primarily by managing the amount, sources and duration of its assets and liabilities and through the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing and duration of the Company’s known or expected cash payments principally related to certain variable-rate assets. The Company does not use derivatives for trading or speculative purposes. Derivatives not designated as hedges are not speculative and result from a service the Company provides to certain customers. The Company executes interest rate swaps with commercial banking customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously hedged by offsetting interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. Additionally, the Company enters into forward contracts for the future delivery of mortgage loans to third-party investors and enters into IRLCs with potential borrowers to fund specific mortgage loans that will be sold into the secondary market. The forward contracts that are entered into, economically hedge the effect of changes in interest rates resulting from the Company’s commitment to fund the loans. The IRLCs and forward contracts are not designated as accounting hedges and are recorded at fair value with changes in fair value reflected in noninterest income on the consolidated statements of income. The fair value of derivative instruments with a positive fair value are reported in accrued income and other assets in the consolidated balance sheets, while derivative instruments with a negative fair value are reported in accrued expenses and other liabilities in the consolidated balance sheets. The table below presents the notional amount and fair value of the Company’s interest rate swaps, IRLCs and forward contracts utilized at December 31: 2023 2022 Notional Fair Notional Fair ($ in thousands) Amount Value Amount Value Asset Derivatives Derivatives not designated as hedging instruments Interest rate swaps associated with loans $ 68,381 $ 3,638 $ 66,477 $ 5,538 IRLCs 7,466 45 - - Forward contracts - - 5,500 26 Total contracts $ 75,847 $ 3,683 $ 71,977 $ 5,564 Liability Derivatives Derivatives not designated as hedging instruments Interest rate swaps associated with loans $ 68,381 $ (3,638 ) $ 66,477 $ (5,538 ) IRLCs - - 3,268 (20 ) Forward contracts 10,750 (37 ) - - Total contracts $ 79,131 $ (3,675 ) $ 69,745 $ (5,558 ) The fair value of interest rate swaps were estimated using a discounted cash flow method that incorporates current market interest rates as of the balance sheet date. Fair values of IRLCs and forward contracts were estimated using changes in mortgage interest rates from the date the Company entered into the IRLC and the balance sheet date. The following table presents the amounts included in the consolidated statements of income for non-hedging derivative financial instruments for the twelve months ended December 31, 2023 and 2022. Amount of gain (loss) ($ in thousands) Statement of income classification 2023 2022 Interest rate swap contracts Other income $ 132 $ 19 IRLCs Gain on sale of mortgage loans & OMSR 65 (42 ) Forward contracts Gain on sale of mortgage loans & OMSR (63 ) 57 The following table shows the offsetting of financial assets and derivative assets at December 31, 2023 and 2022. Gross Gross Net amounts Gross amounts not offset ($ in thousands) recognized consolidated consolidated Financial Cash collateral Net December 31, 2023 Interest rate swaps $ 3,957 $ 319 $ 3,638 $ - $ 2,900 $ 738 December 31, 2022 Interest rate swaps $ 5,540 $ 2 $ 5,538 $ - $ 4,480 $ 1,058 The following table shows the offsetting of financial liabilities and derivative liabilities at December 31, 2023 and 2022. Gross Gross Net amounts Gross amounts not offset ($ in thousands) recognized consolidated consolidated Financial Cash collateral Net December 31, 2023 Interest rate swaps $ 3,957 $ 319 $ 3,638 $ - $ - $ 3,638 December 31, 2022 Interest rate swaps $ 5,540 $ 2 $ 5,538 $ - $ - $ 5,538 |
Interest-Bearing Deposits
Interest-Bearing Deposits | 12 Months Ended |
Dec. 31, 2023 | |
Interest-Bearing Deposits [Abstract] | |
Interest-Bearing Deposits | Note 9: Interest-Bearing Deposits Interest-bearing time deposits in denominations of $250,000 or more totaled $54.1 million on December 31, 2023 and $23.4 million on December 31, 2022. There were no certificates of deposits from brokers as of December 31, 2023 and $7.0 million as of December 31, 2022. At December 31, 2023, the scheduled maturities of time deposits were as follows: ($ in thousands) 2024 $ 197,374 2025 41,190 2026 14,459 2027 1,958 2028 528 Thereafter - Total $ 255,509 Included in time deposits at December 31, 2023 and 2022 were $56.5 million and $58.0 million, respectively, of deposits which were obtained through the Certificate of Deposit Account Registry Service (“CDARS”). This service allows deposit customers to maintain fully insured balances in excess of the $250,000 FDIC limit without the inconvenience of having multi-banking relationships. Under the reciprocal program that the Company is currently participating in, customers agree to allow their deposits to be placed with other participating banks in the CDARS program in insurable amounts under $250,000. In exchange, other banks in the program agree to place their deposits with the Company also in insurable amounts under $250,000. Deposits of directors and their associates, including deposits of companies for which directors are principal owners and executive officers, totaled $5.2 million and $7.0 million at December 31, 2023 and 2022, respectively. |
Short-Term Borrowings
Short-Term Borrowings | 12 Months Ended |
Dec. 31, 2023 | |
Short-Term Borrowings [Abstract] | |
Short-Term Borrowings | Note 10: Short-Term Borrowings ($ in thousands) 2023 2022 Securities Sold Under Repurchase Agreements $ 13,387 $ 14,923 The Company has retail repurchase agreements to facilitate cash management transactions with commercial customers. These obligations were secured by agency securities of $4.5 million and $5.4 million as of December 31, 2023 and 2022, respectively, and mortgage-backed securities of $15.2 million and $12.4 million for 2023 and 2022, respectively. The collateral is held at the FHLB and has maturities from 2025 through 2051. At December 31, 2023, these repurchase agreements totaled $13.4 million. The maximum amount of outstanding agreements at any month end during 2023 and 2022 totaled $24.6 million and $30.9 million, respectively, and the monthly average of such agreements totaled $15.8 million and $20.3 million during 2023 and 2022, respectively. The repurchase agreements mature within one month. The Company has borrowing capabilities at the Federal Reserve Discount Window (“Discount Window”) and the Bank Term Funding Program (“BTFP”) by pledging either securities or loans as collateral. As of December 31, 2023, there was $20.1 million of collateral pledged, but no borrowings drawn at either borrowing facilities. At December 31, 2023 and 2022, the Company had $41.0 million in federal funds lines, of which none were drawn. |
Federal Home Loan Bank (FHLB) A
Federal Home Loan Bank (FHLB) Advances | 12 Months Ended |
Dec. 31, 2023 | |
Federal Home Loan Bank (FHLB) Advances [Abstract] | |
Federal Home Loan Bank (FHLB) Advances | Note 11: Federal Home Loan Bank (FHLB) Advances The FHLB advances were secured by $272.1 million in mortgage loans at December 31, 2023. Advances consisted of fixed and variable interest rates from 3.75 to 5.47 percent. Fixed rate advances are subject to restrictions or penalties in the event of prepayment. Aggregate annual maturities of FHLB advances at December 31, 2023, were: ($ in thousands) Debt 2024 61,100 2026 5,000 2028 17,500 Total $ 83,600 |
Trust Preferred Securities
Trust Preferred Securities | 12 Months Ended |
Dec. 31, 2023 | |
Trust Preferred Securities [Abstract] | |
Trust Preferred Securities | Note 12: Trust Preferred Securities On September 15, 2005, RST II, a wholly-owned subsidiary of the Company, closed a pooled private offering of 10,000 Capital Securities with a liquidation amount of $1,000 per security. The proceeds of the offering were loaned to the Company in exchange for junior subordinated debentures with terms similar to the Capital Securities. Distributions on the Capital Securities are payable quarterly at a variable rate that is currently based upon the 3-month CME Group Benchmark Administration (“CME”) Term Secured Overnight Financing Rate (“SOFR”) as adjusted by the relevant spread adjustment plus 1.80 percent and are included in interest expense in the Consolidated Financial Statements. These securities may be included in Tier 1 capital and may be prepaid at any time without penalty (with certain limitations applicable) under current regulatory guidelines and interpretations. The balance of the Capital Securities as of December 31, 2023 and 2022 was $10.3 million, with a maturity date of September 15, 2035. |
Subordinated Debt
Subordinated Debt | 12 Months Ended |
Dec. 31, 2023 | |
Subordinated Debt [Abstract] | |
Subordinated Debt | Note 13: Subordinated Debt On May 27, 2021, the Company entered into Subordinated Note Purchase Agreements with qualified institutional buyers and accredited investors pursuant to which the Company issued and sold $20.0 million in aggregate principal amount of its 3.65% Fixed to Floating Rate Subordinated Notes due 2031 (the “Notes”). The Notes were sold by the Company in a private placement exempt from the registration requirements under the Securities Act of 1933, as amended. The Notes mature on June 1, 2031 and bear interest at a fixed rate of 3.65% through May 31, 2026. From June 1, 2026 to the maturity date or earlier redemption of the Notes, the interest rate will reset quarterly to an interest rate per annum, equal to the then-current-three-month SOFR provided by the Federal Reserve Bank of New York plus 296 basis points. The Company may redeem the Notes at any time after May 31, 2026, and at any time in whole, but not in part, upon the occurrence of certain events. Any redemption of the Notes will be subject to prior regulatory approval. The Company incurred debt issuance costs for placement fees, legal and other out-of-pocket expenses of approximately $0.5 million, which are being amortized over the life of the Notes. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes [Abstract] | |
Income Taxes | Note 14: Income Taxes The provision for income taxes includes these components: For The Year Ended ($ in thousands) 2023 2022 Taxes currently payable $ 744 $ 86 Deferred provision 1,878 2,709 Income tax expense $ 2,622 $ 2,795 A reconciliation of income tax expense at the statutory rate to the Company’s actual income tax expense is shown below: For The Year Ended ($ in thousands) 2023 2022 Computed at the statutory rate (21%) $ 3,091 $ 3,216 Increase (decrease) resulting from Tax exempt interest (117 ) (111 ) BOLI income (187 ) (106 ) Sec. 831(b) election (198 ) (199 ) Other 33 (5 ) Actual tax expense $ 2,622 $ 2,795 The tax effects of temporary differences related to deferred taxes shown on the balance sheets are: For The Year Ended ($ in thousands) 2023 2022 Deferred tax assets Allowance for credit losses $ 3,315 $ 2,902 Unrealized losses on available-for-sale securities 7,929 8,538 Capitalized research and development costs 90 117 Accrued bonus 124 142 Net operating loss 2,758 5,410 Other 819 854 15,035 17,963 Deferred tax liabilities Depreciation (983 ) (1,117 ) Mortgage servicing rights (2,920 ) (2,836 ) Purchase accounting adjustments (1,488 ) (1,598 ) Prepaids (475 ) (527 ) Net deferred loan costs (93 ) (93 ) Section 475 MTM (7,929 ) (8,538 ) FHLB stock dividends (122 ) (271 ) (14,010 ) (14,980 ) Net deferred tax asset $ 1,025 $ 2,983 As of December 31, 2023 the Company had $13.1 million in net operating losses. No |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 15: Accumulated Other Comprehensive Income (Loss) Accumulated other comprehensive income (loss) represents reclassifications out of unrealized gains and losses on available-for-sale securities net of income tax. There were no reclassifications for the years ending December 31, 2023 and 2022. |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2023 | |
Regulatory Matters [Abstract] | |
Regulatory Matters | Note 16: Regulatory Matters As of December 31, 2023, based on its call report computations, State Bank was classified as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, State Bank must maintain capital ratios as set forth in the table below. There are no conditions or events since December 31, 2023 that management believes have changed State Bank’s capital classification. State Bank’s actual capital amounts and ratios are presented in the following table. Capital levels are presented for State Bank only as the Company is exempt from quarterly reporting at the holding company level: For Capital Adequacy To Be Well Capitalized Under Prompt Corrective Actual Purposes Action Procedures ($ in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2023 Tier I Capital to average assets $ 148,049 10.93 % $ 54,185 4.0 % $ 67,732 5.0 % Tier I Common equity capital to risk-weighted assets $ 148,049 13.42 % $ 49,640 4.5 % $ 71,702 6.5 % Tier I Capital to risk-weighted assets $ 148,049 13.42 % $ 66,186 6.0 % $ 88,249 8.0 % Total Risk-based capital to risk-weighted assets $ 161,872 14.67 % $ 88,249 8.0 % $ 110,311 10.0 % As of December 31, 2022 Tier I Capital to average assets $ 146,678 11.06 % $ 53,069 4.0 % $ 66,336 5.0 % Tier I Common equity capital to risk-weighted assets $ 146,678 13.42 % $ 49,200 4.5 % $ 71,067 6.5 % Tier I Capital to risk-weighted assets $ 146,678 13.42 % $ 65,600 6.0 % $ 87,466 8.0 % Total Risk-based capital to risk-weighted assets $ 160,346 14.67 % $ 87,466 8.0 % $ 109,333 10.0 % The above minimum capital requirements exclude the capital conservation buffer required to avoid limitations on capital distributions, including dividend payments and certain discretionary bonus payments to executive officers. The capital conservation buffer was 2.50 percent at December 31, 2023 and the Company still would have met the minimum capital requirements when the capital buffer is considered. The net unrealized gain or loss on available-for-sale securities is not included in computing regulatory capital. Management believes that State Bank met all capital adequacy requirements to which State Bank was subject as of December 31, 2023. |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2023 | |
Employee Benefits [Abstract] | |
Employee Benefits | Note 17: Employee Benefits The Company has a share-based incentive compensation plan that permits the grant of stock options, restricted stock and other share-based awards to employees, directors and advisory board members of the Company and its subsidiaries. In addition, the Company has instituted a long-term incentive program, with the objective of rewarding senior management through grants of restricted common shares of the Company (see Note 18 to the Consolidated Financial Statements). The Company has a retirement savings 401(k) plan covering substantially all employees. The Company provides a safe harbor matching contribution equal to 100% of an employees’ salary deferral amounts up to 4% of the employees’ eligible compensation. Employees are immediately vested in their voluntary contributions and in any Company safe harbor matching contributions. Any discretionary contribution made by the Company is fully vested after three years of credited service. Employer contributions charged to expense for 2023 and 2022 were $0.6 million and $0.7 million, respectively. Also, the Company has Supplemental Executive Retirement Plan (“SERP”) Agreements with certain active and retired officers. The agreements provide monthly payments for up to 15 years that equal 15 percent to 25 percent of average compensation prior to retirement or death. The charges to expense for the current agreements were $0.2 million and $0.2 million for 2023 and 2022, respectively. Additional life insurance is provided to certain officers through bank-owned life insurance (“BOLI”) policies. By way of a separate split-dollar agreement, each policy’s interests are divided between the Company and the insured’s beneficiary. The Company owns the policy’s cash value and a portion of the policy net death benefit, over and above the cash value assigned to the insured’s beneficiary. In May 2022, an additional $10.5 million in BOLI policies were purchased. The cash surrender value of all life insurance policies totaled $29.1 million and $28.9 million at December 31, 2023 and 2022, respectively. The Company has a noncontributory employee stock ownership plan (“ESOP”) covering substantially all employees of the Company and its subsidiaries. Voluntary contributions are made by the Company to the plan. Each eligible employee is vested based upon years of service, including prior years of service. The Company’s contributions to the account of each employee become fully vested after three years of service. Benefit expense for the value of the stock purchased is recorded equal to the fair market value of the stock when contributions, which are determined annually by the Board of Directors of the Company, are made to the ESOP. Allocated shares in the ESOP at December 31, 2023 and 2022, were 328,187 and 370,876, respectively. Dividends on allocated shares in the ESOP are recorded as dividends and charged to retained earnings. Compensation expense is recorded equal to the fair market value of the stock when contributions, which are determined annually by the Board of Directors of the Company, are made to the ESOP. ESOP expense for the years ended December 31, 2023 and 2022 was $0.1 million and $0.0 million, respectively. |
Share-Based Compensation Plan
Share-Based Compensation Plan | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Compensation Plan [Abstract] | |
Share-Based Compensation Plan | Note 18: Share-Based Compensation Plan In April 2017, the shareholders approved a new share-based incentive compensation plan, the SB Financial Group, Inc. 2017 Stock Incentive Plan (the “2017 Plan”). This plan permits the grant or award of incentive stock options, nonqualified stock options, stock appreciation rights (“SAR’s”), restricted stock, and restricted stock units (“RSU’s”) for up to 500,000 common shares of the Company. The 2017 Plan is intended to advance the interests of the Company and its shareholders by offering employees, directors and advisory board members of the Company and its subsidiaries an opportunity to acquire or increase their ownership interest in the Company through grants of equity-based awards. The 2017 Plan permits equity-based awards to be used to attract, motivate, reward and retain highly competent individuals upon whose judgment, initiative, leadership and efforts are key to the success of the Company by encouraging those individuals to become shareholders of the Company. Option awards are granted with an exercise price equal to the market price of the Company’s common shares at the date of grant and those option awards vest based on five years of continuous service and have 10-year contractual terms. The fair value of each option award is estimated on the date of grant using the Black-Scholes valuation model. There were no options granted in 2023 or 2022. There were no stock options outstanding, and no compensation expense charged against income with respect to option awards under the Plan, as of December 31, 2023 or 2022. As of December 31, 2023, there was no unrecognized compensation cost related to incentive option share-based compensation arrangements granted under the 2017 Plan. Pursuant to the Long Term Incentive (“LTI”) Plan, the Company awards restricted common shares of the Company to certain key executives under the 2017 Plan. These restricted stock awards vest over a four-year period and are intended to assist the Company in retention of key executives. During 2023 and 2022, the Company met certain performance targets and restricted stock awards were approved by the Board. The compensation cost charged against income for the LTI Plan was $0.6 million and $0.6 million for 2023 and 2022, respectively. The total income tax benefit recognized in the income statement for share-based compensation arrangements was $0.1 million and $0.1 million for 2023 and 2022, respectively. A summary of restricted stock activity under the Company’s LTI Plan as of December 31, 2023 and changes during the year ended is presented below: Shares Weighted- Nonvested, January 1, 2023 52,919 $ 19.23 Granted 28,664 16.53 Vested (31,810 ) 17.96 Forfeited (807 ) 18.27 Nonvested, December 31, 2023 48,966 $ 18.49 As of December 31, 2023, there was $0.6 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements related to the restricted stock awards under the 2017 Plan which were granted in accordance with the LTI Plan. That cost is expected to be recognized over a weighted-average period of 1.62 years. |
Disclosures about Fair Value of
Disclosures about Fair Value of Assets and Liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Disclosures about Fair Value of Assets and Liabilities [Abstract] | |
Disclosures About Fair Value of Assets and Liabilities | Note 19: Disclosures About Fair Value of Assets and Liabilities Pursuant to ASC 820, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three level hierarchy exists in ASC 820 for fair value measurements based upon the inputs to the valuation of an asset or liability: Level 1: Level 2: Level 3: Following is a description of the valuation methodologies and inputs used for assets measured at fair value on a recurring basis, recognized in the accompanying balance sheets, as well as the general classification of such assets pursuant to the valuation hierarchy. Available-for-sale securities The fair value of available-for-sale securities are determined by various valuation methodologies. Level 2 securities include obligations of U.S. government agencies, mortgage-backed securities, obligations of political and state subdivisions, and corporate securities. Level 2 inputs do not include quoted prices for individual securities in active markets; however, they do include inputs that are either directly or indirectly observable for the individual security being valued. Such observable inputs include interest rates and yield curves at commonly quoted intervals, volatilities, prepayment speeds, credit risks and default rates. Also included are inputs derived principally from or corroborated by observable market data by correlation or other means. Interest rate contracts The fair values of interest rate contracts are based upon the estimated amount the Company would receive or pay to terminate the contracts or agreements, taking into account underlying interest rates, creditworthiness of underlying customers for credit derivatives and, when appropriate, the creditworthiness of the counterparties. Forward contracts The fair values of forward contracts on to-be-announced securities are determined using quoted prices in active markets, or benchmarked thereto (Level 1). Interest Rate Lock Commitments (IRLCs) The fair value of IRLCs are determined using the projected sale price of individual loans based on changes in the market interest rates, projected pull-through rates (the probability that an IRLC will ultimately result in an originated loan), the reduction in the value of the applicant’s option due to the passage of time, and the remaining origination costs to be incurred based on management’s estimate of market costs (Level 3). The following table presents the fair value measurements of securities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fell at December 31, 2023 and 2022: ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) U.S. Treasury and Government Agencies $ 6,517 $ - $ 6,517 $ - Mortgage-backed securities 188,867 - 188,867 - State and political subdivisions 9,898 - 9,898 - Other corporate securities 14,426 - 14,426 - Interest rate contracts - assets 3,638 - 3,638 - Interest rate contracts - liabilities (3,638 ) - (3,638 ) - Forward contracts (37 ) (37 ) - - IRLCs 45 - - 45 ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) U.S. Treasury and Government Agencies $ 6,764 $ - $ 6,764 $ - Mortgage-backed securities 205,835 - 205,835 - State and political subdivisions 11,103 - 11,103 - Other corporate securities 15,078 - 15,078 - Interest rate contracts - assets 5,538 - 5,538 - Interest rate contracts - liabilities (5,538 ) - (5,538 ) - Forward contracts 26 26 - - IRLCs (20 ) - - (20 ) Level 1 - quoted prices in active markets for identical assets Level 2 - significant other observable inputs Level 3 - significant unobservable inputs The following table reconciles the beginning and ending balances of recurring fair value measurements recognized in the accompanying consolidated balance sheets using significant unobservable (Level 3) inputs for the years ended December 31, 2023 and 2022. for the Twelve Months Ended ($ in thousands) 2023 2022 Interest rate lock commitments Balance at beginning of period $ (20 ) $ 22 Change in fair value 65 (42 ) Balance at end of period $ 45 $ (20 ) The following is a description of the valuation methodologies and inputs used for assets measured at fair value on a nonrecurring basis and recognized in the accompanying balance sheets, as well as the general classification of such assets pursuant to the valuation hierarchy. Collateral-dependent Individually Evaluated Loans, Net of ACL Loans for which it is probable the Company will not collect all principal and interest due according to contractual terms are measured for collateral dependency. The estimated fair value of collateral-dependent loans is based on the appraised value of the collateral, less estimated cost to sell. Collateral-dependent loans are classified within Level 3 of the fair value hierarchy. This method requires obtaining independent appraisals of the collateral from a list of preapproved appraisers, which are reviewed for accuracy and consistency by the Company. The appraised values are reduced by applying a discount factor to the value based on the Company’s loan review policy. All individually evaluated loans held by the Company were collateral dependent at December 31, 2023 and 2022. Mortgage Servicing Rights Mortgage servicing rights do not trade in an active, open market with readily observable prices. Accordingly, fair value is estimated using discounted cash flow models associated with the servicing rights and discounting the cash flows using discount market rates, prepayment speeds and default rates. The servicing portfolio has been valued using all relevant positive and negative cash flows including servicing fees, miscellaneous income and float; marginal costs of servicing; the cost of carry of advances; and foreclosure losses; and applying certain prevailing assumptions used in the marketplace. Due to the nature of the valuation inputs, mortgage servicing rights are classified within Level 3 of the hierarchy. These mortgage servicing rights are tested for impairment on a quarterly basis. The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis and the level within the fair value hierarchy in which the fair value measurements fell at December 31, 2023 and 2022: ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) Collateral-dependent Individually evaluated loans $ 864 $ - $ - $ 864 Mortgage servicing rights 1,896 - - 1,896 ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) Collateral-dependent impaired loans $ 1,028 $ - $ - $ 1,028 Mortgage servicing rights 1,448 - - 1,448 Level 1 - quoted prices in active markets for identical assets Level 2 - significant other observable inputs Level 3 - significant unobservable inputs Unobservable (Level 3) Inputs The following tables present quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements at December 31, 2023 and 2022: ($ in thousands) Fair value at Valuation Unobservable inputs Range Collateral-dependent individually evaluated loans $ 864 Market comparable properties Comparability adjustments (%) 2 - 100% (25 %) Mortgage servicing rights 1,896 Discounted cash flow Discount rate 11.01 % Constant prepayment rate 7.16 % P&I earnings credit 5.33 % T&I earnings credit 5.13 % Inflation for cost of servicing 3.50 % IRLCs 45 Discounted cash flow Loan closing rates 27% - 91 % ($ in thousands) Fair value at Valuation Unobservable inputs Range Collateral-dependent impaired loans $ 1,028 Market comparable properties Comparability adjustments (%) 8 - 21% (12 %) Mortgage servicing rights 1,448 Discounted cash flow Discount rate 11.39 % Constant prepayment rate 7.52 % P&I earnings credit 4.35 % T&I earnings credit 4.58 % Inflation for cost of servicing 3.50 % IRLCs (20 ) Discounted cash flow Loan closing rates 41% - 99 % The mortgage servicing rights portfolio is measured for fair value by an independent third party. The valuation of the portfolio hinges on a number of quantitative factors. These factors include, but are not limited to, a discount rate applied to the cash flows, and an assumption of future principal prepayments. The prepayment assumptions are based upon the historical performance of the Company’s portfolio as well as market metrics. The servicing rights have had a decrease in prepayments and the 3.42 percent decrease in the constant prepayment rate reflects the change in market rates. In addition, the earnings credit rate decreased and the discount rate increased. The following methods were used to estimate the fair value of all other financial instruments recognized in the accompanying balance sheets at amounts other than fair value. Cash and Due From Banks, Interest Bearing Time Deposits, FRB and FHLB Stock and Interest Receivable and Payable Fair value is determined to be the carrying amount for these items (which include cash on hand, due from banks, and federal funds sold) because they represent cash or mature in 90 days or less, and do not represent unanticipated credit concerns. Loans Held for Sale The fair value of loans held for sale is based upon quoted market prices, where available, or is determined by discounting estimated cash flows using interest rates approximating the Company’s current origination rates for similar loans and adjusted to reflect the inherent credit risk. Loans The estimated fair value of loans follows the guidance in ASU 2016-01, which prescribes an “exit price” approach in estimating and disclosing fair value of financial instruments. The fair value calculation at that date discounted estimated future cash flows using rates that incorporated discounts for credit, liquidity, and marketability factors. Deposits, Repurchase Agreements & FHLB Advances Deposits include demand deposits, savings accounts and certain money market deposits. The carrying amount approximates the fair value. The estimated fair value for fixed-maturity time deposits, as well as borrowings, is based on estimates of the rate the Company could pay on similar instruments with similar terms and maturities at December 31, 2023 and 2022. Loan Commitments The fair value of commitments is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. The estimated fair values for other financial instruments and off-balance-sheet loan commitments approximate cost at December 31, 2023 and 2022 and are not considered significant to this presentation. Trust Preferred Securities The fair value for Trust Preferred Securities is estimated by discounting the cash flows using an appropriate discount rate. Subordinated Debt The fair value for Subordinated Debt is estimated by discounting the cash flows using an appropriate discount rate. The following table presents estimated fair values of the Company’s financial instruments. The fair values of certain instruments were calculated by discounting expected cash flows, which involves significant judgments by management and uncertainties. Fair value is the estimated amount at which financial assets or liabilities could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. Because no market exists for these financial instruments, and because management does not intend to sell these financial instruments, the Company does not know whether the fair values shown below represent values at which the respective financial instruments could be sold individually or in the aggregate. ($ in thousands) Carrying Fair Fair value measurements using December 31,2023 amount value (Level 1) (Level 2) (Level 3) Financial assets Cash and due from banks $ 22,965 $ 22,965 $ 22,965 $ - $ - Interest bearing time deposits 1,535 1,535 - 1,535 - Loans held for sale 2,525 2,565 - 2,565 - Loans, net of allowance for credit losses 984,426 964,216 - - 964,216 Federal Reserve and FHLB Bank stock, at cost 7,279 7,279 - 7,279 - Interest receivable 4,657 4,657 - 4,657 - Financial liabilities Deposits $ 1,070,205 $ 1,078,028 $ 814,696 $ 263,332 $ - Short-term borrowings 13,387 13,387 - 13,387 - FHLB advances 83,600 83,368 - 83,368 - Trust preferred securities 10,310 9,759 - 9,759 - Subordinated debt, net of issuance costs 19,642 19,435 - 19,435 - Interest payable 2,443 2,443 - 2,443 - ($ in thousands) Carrying Fair Fair value measurements using December 31, 2022 amount value (Level 1) (Level 2) (Level 3) Financial assets Cash and due from banks $ 27,817 $ 27,817 $ 27,817 $ - $ - Interest bearing time deposits 2,131 2,131 - 2,131 - Loans held for sale 2,073 2,100 - 2,100 - Loans, net of allowance for loan losses 948,257 945,699 - - 945,699 Federal Reserve and FHLB Bank stock, at cost 6,326 6,326 - 6,326 - Interest receivable 4,091 4,091 - 4,091 - Financial liabilities Deposits $ 1,086,665 $ 1,090,718 $ 895,785 $ 194,933 $ - Short-term borrowings 14,923 14,923 - 14,923 - FHLB advances 60,000 59,886 - 59,886 - Trust preferred securities 10,310 9,674 - 9,674 - Subordinated debt, net of issuance costs 19,594 18,959 - 18,959 - Interest payable 769 769 - 769 - |
Parent Company Financial Inform
Parent Company Financial Information | 12 Months Ended |
Dec. 31, 2023 | |
Parent Company Financial Information [Abstract] | |
Parent Company Financial Information | Note 20: Parent Company Financial Information Presented below is condensed financial information of the parent company only: Condensed Balance Sheets ($ in thousands) 2023 2022 Assets Cash & cash equivalents $ 6,468 $ 4,655 Investment in banking subsidiaries 139,502 135,923 Investment in nonbanking subsidiaries 6,279 6,587 Other assets 2,726 2,076 Total assets $ 154,975 $ 149,241 Liabilities Trust preferred securities $ 10,000 $ 10,000 Sub debt net of issuance cost 19,642 19,594 Borrowings from nonbanking subsidiaries 310 310 Other liabilities & accrued interest payable 681 909 Total liabilities 30,633 30,813 Shareholders’ equity 124,342 118,428 Total liabilities and shareholders’ equity $ 154,975 $ 149,241 Condensed Statements of Income ($ in thousands) 2023 2022 Dividends from subsidiaries: Banking subsidiaries $ 10,000 $ - Nonbanking subsidiaries 700 750 Total income 10,700 750 Expenses Interest expense 1,494 1,139 Other expense 1,616 1,747 Total expenses 3,110 2,886 Income before income tax 7,590 (2,136 ) Income tax benefit (652 ) (613 ) Income (loss) before equity in undistributed income of subsidiaries 8,242 (1,523 ) Equity in undistributed income of subsidiaries Banking subsidiaries 3,290 13,426 Nonbanking subsidiaries 563 618 Total 3,853 14,044 Net income $ 12,095 $ 12,521 Condensed Statements of Comprehensive Income (Loss) ($ in thousands) 2023 2022 Net income $ 12,095 $ 12,521 Other comprehensive income (loss): Available-for-sale investment securities: Gross unrealized holding gain (loss) arising in the period 2,897 (38,323 ) Related tax (expense) benefit (608 ) 8,048 Net effect on other comprehensive income (loss) 2,289 (30,275 ) Total comprehensive income (loss) $ 14,384 $ (17,754 ) Condensed Statements of Cash Flows ($ in thousands) 2023 2022 Operating activities Net income $ 12,095 $ 12,521 Items not requiring (providing) cash Equity in undistributed net income of subsidiaries (3,853 ) (14,044 ) Stock compensation expense 576 568 Other assets 230 973 Other liabilities (228 ) (502 ) Net cash provided by (used in) operating activities 8,820 (484 ) Financing activities Dividends on common shares (3,584 ) (3,407 ) Stock dividends on common shares - (8 ) Repurchase of common shares (3,471 ) (5,900 ) Other financing activities 48 48 Net cash used in financing activities (7,007 ) (9,267 ) Net change in cash and cash equivalents 1,813 (9,751 ) Cash and cash equivalents at beginning of year 4,655 14,406 Cash and cash equivalents at end of year $ 6,468 $ 4,655 |
Quarterly Financial Information
Quarterly Financial Information (unaudited) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information (unaudited) [Abstract] | |
Quarterly Financial Information (unaudited) | Note 21: Quarterly Financial Information (unaudited) Quarterly Financial Information (unaudited) Years ended December 31, ($ in thousands, except per share data) 2023 December September June March Interest income $ 15,126 $ 14,796 $ 14,406 $ 13,824 Interest expense 5,542 5,260 4,577 3,500 Net interest income 9,584 9,536 9,829 10,324 Provision for loan losses (74 ) (6 ) 145 250 Noninterest income 5,531 4,163 4,361 3,666 Noninterest expense 10,369 10,481 10,339 10,773 Income tax expense 937 537 631 517 Net income $ 3,883 $ 2,687 $ 3,075 $ 2,450 Basic earnings per common share $ 0.58 $ 0.39 $ 0.45 $ 0.35 Diluted earnings per common share $ 0.56 $ 0.39 $ 0.45 $ 0.35 Dividends per share $ 0.135 $ 0.130 $ 0.130 $ 0.125 2022 December September June March Interest income $ 12,936 $ 11,764 $ 10,474 $ 9,395 Interest expense 2,037 1,334 881 918 Net interest income 10,899 10,430 9,593 8,477 Provision for loan losses - - - - Noninterest income 3,713 4,043 4,673 5,802 Noninterest expense 10,268 10,385 10,802 10,859 Income tax expense 812 746 630 607 Net income $ 3,532 $ 3,342 $ 2,834 $ 2,813 Basic earnings per common share $ 0.51 $ 0.48 $ 0.40 $ 0.40 Diluted earnings per common share $ 0.50 $ 0.47 $ 0.40 $ 0.40 Dividends per share $ 0.125 $ 0.120 $ 0.120 $ 0.115 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) | $ 12,095 | $ 12,521 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Organization and Nature of Operations | Organization and Nature of Operations SB Financial Group, Inc. (“SB Financial”) is a financial holding company whose principal activity is the ownership and management of its wholly-owned subsidiaries, The State Bank and Trust Company (“State Bank”), SBFG Title, LLC dba Peak Title Agency (“SBFG Title”), SB Captive, Inc. (“SB Captive”), RFCBC, Inc. (“RFCBC”), Rurbanc Data Services, Inc. dba RDSI Banking Systems (“RDSI”), Rurban Statutory Trust II (“RST II”), and SBFG Mortgage, LLC. State Bank owns all the outstanding stock of Rurban Mortgage Company (“RMC”) and State Bank Insurance, LLC (“SBI”). The “Company” refers to SB Financial and its consolidated subsidiaries collectively, except where the context indicates the reference relates solely to the registrant, SB Financial. The Company is primarily engaged in providing a full range of banking and wealth management services to individual and corporate customers primarily located in Ohio, Indiana, and Michigan. The Company is subject to competition from other financial institutions in its market areas. The Company is regulated by certain federal and state agencies and undergoes periodic examinations by those regulatory authorities. |
Principles of Consolidation | Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company, State Bank, SBFG Title, SB Captive, RFCBC, RDSI, RMC, RST II, SBFG Mortgage, LLC, and SBI. All significant intercompany accounts and transactions were eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the ACL, loan servicing rights, and fair value of financial instruments. |
Cash Equivalents | Cash Equivalents The Company considers all liquid investments with original maturities of three months or less to be cash equivalents. At December 31, 2023 and 2022, cash equivalents consisted primarily of interest-bearing and noninterest bearing demand deposit balances held by correspondent banks. At December 31, 2023, the Company’s correspondent cash accounts exceeded federally insured limits by $.4 million. Additionally, the Company had approximately $5.9 million of cash held by the Federal Reserve Bank (“FRB”) and the Federal Home Loan Bank (“FHLB”), which is not federally insured. |
Securities | Securities Available-for-sale securities, which include any debt security for which the Company has no immediate plan to sell but which may be sold in the future, are carried at fair value. Unrealized gains and losses are recorded, net of related income tax effects, in other comprehensive income. Amortization of premiums and accretion of discounts are recorded as interest income from securities. Realized gains and losses are recorded as net security gains (losses). Gains and losses on sales of securities are determined on the specific-identification method. The Company has made a policy election to exclude accrued interest from the amortized cost basis of securities and report accrued interest separately in other assets on the consolidated balance sheets. A security is placed on nonaccrual status at the time any principal or interest payments become more than 90 days delinquent or if full collection of interest or principal becomes uncertain. Accrued interest for a security placed on nonaccrual is reversed against interest income. There was no accrued interest related to securities reversed against interest income for the years ended December 31, 2023 or 2022. |
Allowance for Credit Losses – Available-for-Sale Securities | Allowance for Credit Losses – Available-for-Sale Securities For available-for-sale securities in an unrealized loss position, the Company first assesses whether it intends to sell, or it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income as a provision for credit losses. For available-for-sale securities that do not meet the aforementioned criteria, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an ACL is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Changes in the ACL are recorded as provision for (or reversal of) credit losses. Available-for-sale securities are charged-off against the allowance or, in the absence of any allowance, written down through income when deemed uncollectible by management or when either of the aforementioned criteria regarding intent or requirement to sell is met. At December 31, 2023, no ACL on available-for-sale securities was recorded. Management has made the accounting policy election to exclude accrued interest receivable on available-for-sale securities from the estimate of credit losses. Accrued interest receivable on available-for-sale debt securities totaled $0.7 million at December 31, 2023. Should the decline in fair value be the result of credit losses or other factors, the security would be moved into a nonaccrual status and all accrued interest be reversed. |
Mortgage Loans Held for Sale | Mortgage Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to noninterest income. Gains and losses on loan sales are recorded in noninterest income. The Company utilizes third-party hedges to minimize the impact of interest rate risk fluctuations, and their impact is realized through noninterest income. |
Loans | Loans Loans that management has the intent and ability to hold for the foreseeable future, or until maturity or payoffs, are reported at their outstanding principal balances adjusted for any charge offs, the ACL, any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Interest income is reported on the interest method and includes amortization of net deferred loan fees and costs over the loan term. Generally, loans are placed on nonaccrual status not later than 90 days past due. Past due status is based on the contractual terms of the loan. All interest accrued, but not collected for loans that are placed on nonaccrual or charged off, is reversed against interest income. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. |
Allowance for Credit Losses - Loans | Allowance for Credit Losses - Loans The ACL is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the allowance when management believes that the uncollectability of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Management estimates the ACL using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The Company measures expected credit losses for loans on a pooled basis when similar risk characteristics exist. The Company has identified the following portfolio segments: ● Commercial & Industrial ● Commercial Real Estate - Owner Occupied ● Commercial Real Estate – Nonowner Occupied ● Agricultural ● Residential Real Estate ● Home Equity Line of Credit (HELOCs) ● Consumer The Company utilizes a Discounted Cash Flow (“DCF”) method to estimate the quantitative portion of the ACL for all loan pools evaluated on a collective pooled basis, with the exception of the credit card portfolio, which was estimated using the Remaining Life Method. For each segment, a Loss Driver Analysis (“LDA”) was performed in order to identify appropriate loss drivers and create a regression model for use in forecasting cash flows. The LDA utilized the Company’s own Federal Financial Institutions Examination Council’s (“FFIEC”) Call Report data, as well as peer institution data. In creating the DCF model, the Company has established a one-year reasonable and supportable forecast period with a one-year straight line reversion to the long-term historical average. The Company’s own loan-level loss data contained within the model is being supplemented with peer data in most loan pools as there was not sufficient loan-level detail from prior cycles reflecting similar economic conditions as the forecasted loss drivers to result in a sound calculation. Key inputs into the DCF model include loan-level detail, including the amortized cost basis of individual loans, payment structure, loss history, and forecasted loss drivers. The Company utilizes data from Federal Reserve Economic Data (“FRED”) to provide economic forecasts under various scenarios, which are applied to loan pools to reflect credit risk in the current economic environment. Additional key assumptions in the DCF model include the probability of default (“PD”), loss given default (“LGD”), and prepayment/curtailment rates. When possible, the Company utilizes its own PDs for the reasonable and supportable forecast period. When it is not possible to use the Company’s own PDs, the LDA is utilized to determine PDs based on the forecasted economic factors. When possible, the Company utilizes its own LGDs for the reasonable and supportable forecast period. When it is not possible to use the Company’s own LGDs, the LGD is derived using a method referred to as Frye Jacobs. The Frye Jacobs method is a mathematical formula that traces the relationship between LGD and PD over time and projects the LGD based on the level of PD forecasted. In all cases, the Frye Jacobs method is utilized to calculate LGDs during the reversion period and long-term historical average. Benchmark prepayment and curtailment rates were used in the ACL estimate. Management also considers further adjustments to historical loss information for current conditions and reasonable and supportable forecasts that differ from the conditions that exist for the period over which historical information is evaluated as well as other changes in qualitative factors not inherently considered in the quantitative analyses. A number of factors are considered including economic forecast uncertainty, credit quality trends, valuation trends, concentration risk, quality of loan review, changes in personnel, impact of rising interest rates, external factors and other considerations. The resulting qualitative adjustments are applied to the relevant collectively evaluated loan pools. The qualitative analysis increases or decreases the allowance allocation for each loan pool based on the assessment of factors described above. During each reporting period, management also considers the need to adjust the baseline lifetime loss rates for factors that may cause expected losses to differ from those experienced in the historical loss periods. Loans that do not share risk characteristics are evaluated on an individual basis. When management determines that foreclosure is probable and the borrower is experiencing financial difficulty, the expected credit losses are based on the fair value of collateral at the reporting dated adjusted for selling costs as appropriate. The Company is also required to consider expected credit losses associated with loan commitments over the contractual period in which it is exposed to credit risk on the underlying commitments. Any allowance for off-balance sheet credit exposures is reported in Other liabilities on the Company’s consolidated balance sheet and is increased or decreased through a provision for credit loss expense on the Company’s consolidated statement of income. The calculation includes consideration of the likelihood that funding will occur and forecasted credit losses on commitments expected to be funded over their estimated lives. The allowance is calculated using the same methodology, inputs and assumptions as the funded portion of loans at the segment level applied to the amount of commitments expected to be funded. While the Company’s policies and procedures used to estimate the ACL, as well as the resultant provision for credit losses charged to income, are considered adequate by management and are reviewed periodically by regulators, model validators and internal audit, they are necessarily approximate and imprecise. There are factors beyond the Company’s control, such as changes in projected economic conditions, real estate markets or particular industry conditions, which may materially impact asset quality and the adequacy of the ACL and thus the resulting provision for credit losses. |
Premises and Equipment | Premises and Equipment Depreciable assets are stated at cost less accumulated depreciation. Depreciation is charged to expense using the straight-line method for buildings and equipment over the estimated useful lives of the assets. Leasehold improvements are capitalized and depreciated using the straight-line method over the terms of the respective leases. |
Long-lived Asset Impairment | Long-lived Asset Impairment The Company evaluates the recoverability of the carrying value of long-lived assets whenever events or circumstances indicate the carrying amount may not be recoverable. If a long-lived asset is tested for recoverability and the undiscounted estimated future cash flows expected to result from the use and eventual disposition of the asset is less than the carrying amount of the asset, the asset’s cost is adjusted to fair value and an impairment loss is recognized as the amount by which the carrying amount of a long-lived asset exceeds its fair value. |
Federal Reserve Bank (FRB) and Federal Home Loan Bank (FHLB) Stock | Federal Reserve Bank (FRB) and Federal Home Loan Bank (FHLB) Stock FRB and FHLB stock are required investments for institutions that are members of the FRB and FHLB systems. The required investment in the common stock is based on a predetermined formula, carried at cost and evaluated for impairment. |
Foreclosed Assets and Other Assets Held for Sale | Foreclosed Assets and Other Assets Held for Sale Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less costs to sell at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of the carrying amount or the fair value less cost to sell. Revenue and expenses from operations related to foreclosed assets and changes in the valuation allowance are included in net income or expense from foreclosed assets. |
Goodwill | Goodwill Goodwill is tested for impairment annually or upon a triggering event. If the implied fair value of goodwill is lower than its carrying amount, goodwill impairment is indicated and goodwill is written down to its implied fair value. |
Core Deposits and Other Intangibles | Core Deposits and Other Intangibles Intangible assets are being amortized on a straight-line basis over weighted-average periods ranging from one to eight years. Such assets are periodically evaluated as to the recoverability of their carrying value. Purchased software is being amortized using the straight-line method over periods ranging from one to three years. |
Derivatives | Derivatives The Company enters into forward contracts for the future delivery of mortgage loans to third-party investors and enters into interest rate lock commitments (“IRLCs”) with potential borrowers to fund specific mortgage loans that will be sold into the secondary market. The forward contracts are entered into in order to economically hedge the effect of changes in interest rates resulting from the Company’s commitment to fund the loans. The IRLCs and forward contracts are not designated as accounting hedges and are recorded at fair value with the changes in fair value reflected in noninterest income on the consolidated statements of income. The fair value of derivative instruments with a positive fair value are reported in accrued income and other assets in the consolidated balance sheets, while the derivative instruments with a negative fair value are reported in accrued expenses and other liabilities in the consolidated balance sheets. For exchange-traded contracts, fair value is based on quoted market prices. For non-exchange traded contracts, fair value is based on dealer quotes, pricing models, discounted cash flow methodologies or similar techniques for which the determination of fair value may require significant management judgment or estimation. |
Mortgage Servicing Rights | Mortgage Servicing Rights Mortgage servicing assets are recognized separately when rights are acquired through purchase or through sale of financial assets. Under the servicing assets and liabilities accounting guidance (Accounting Standards Codification “ASC” 806-50), servicing rights from the sale or securitization of loans originated by the Company are initially measured at fair value at the date of transfer. The Company subsequently measures each class of servicing asset using the amortization method. Under the amortization method, servicing rights are amortized in proportion to and over the period of estimated net servicing income. The amortized assets are assessed for impairment based on fair value at each reporting date. Fair value is based on market prices for comparable mortgage servicing contracts, when available, or alternatively, is based on a valuation model that calculates the present value of estimated future net servicing income. The valuation model incorporates assumptions that market participants would use in estimating future net servicing income, such as the cost of service, the discount rate, the custodial earning rate, an inflation rate, ancillary income, prepayment speeds and default rates and losses. These variables change from quarter to quarter as market conditions and projected interest rates change, and may have an adverse impact on the value of the mortgage servicing right and may result in a reduction to noninterest income. Each class of separately recognized servicing assets subsequently measured using the amortization method is evaluated and measured for impairment. Impairment is determined by stratifying rights into tranches based on predominant characteristics, such as interest rate, loan type and investor type. Impairment is recognized through a valuation allowance for an individual tranche, to the extent that fair value is less than the carrying amount of the servicing assets for that tranche. The valuation allowance is adjusted to reflect changes in the measurement of impairment after the initial measurement of impairment. Changes in valuation allowances are reported with “Mortgage loan servicing fees, net” in the income statement. Fair value in excess of the carrying amount of servicing assets for that stratum is not recognized. Servicing fee income is recorded for fees earned for servicing loans. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned. The amortization of mortgage servicing rights is netted against loan servicing fee income. |
Share-Based Employee Compensation Plan | Share-Based Employee Compensation Plan At December 31, 2023 and 2022, the Company had a share-based employee compensation plan (see Note 18 to the Consolidated Financial Statements). |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company – put presumptively beyond the reach of the transferor and its creditors, even in bankruptcy or other receivership, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before the maturity or the ability to unilaterally cause the holder to return specific assets. |
Income Taxes | Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (ASC 740). The income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. Uncertain tax positions are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the term “upon examination” also includes resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. The Company recognizes interest and penalties on income taxes as a component of income tax expense. The Company files consolidated income tax returns with its subsidiaries. With a few exceptions, the Company is no longer subject to U.S. Federal, State and Local examinations by tax authorities for the years before 2020. As of December 31, 2023, the Company had no uncertain income tax positions. |
Treasury Shares | Treasury Shares Treasury stock is stated at cost. Cost is determined by the weighted-average cost method. |
Earnings Per Share | Earnings Per Share Earnings per share (“EPS”) is computed using the two-class method. Basic EPS represent income available to common shareholders divided by the weighted-average number of common shares outstanding during each period. Diluted EPS reflect additional potential common shares that may be issued by the Company related solely to outstanding stock options or awards which are determined using the treasury stock method. Treasury stock shares are not deemed outstanding for EPS calculations. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other comprehensive income (loss), net of applicable income taxes. Other comprehensive income (loss) includes unrealized appreciation (depreciation) on available-for-sale securities. AOCI consists solely of the cumulative unrealized gains and losses on available-for-sale securities net of income tax. |
Subordinated Debt | Subordinated Debt At December 31, 2023, the Company had subordinated debt obligations of $20.0 million related to its 3.65% Fixed to Floating Rate Subordinated Notes due 2031, which were issued and sold by the Company on May 27, 2021. The Subordinated Notes were issued in order to provide additional funds for various corporate obligations of the Company, including share buybacks, acquisition costs and organic asset growth (see Note 13 to the Consolidated Financial Statements). |
Revenue Recognition | Revenue Recognition The Company recognizes revenues as they are earned based on contractual terms, as transactions occur, or services are provided and collectability is reasonably assured. The Company’s principal source of revenue is interest income from loans and leases and investment securities. The Company also earns noninterest income from various banking and financial services offered through State Bank. Interest income is the largest source of revenue for the Company and is primarily recognized on an accrual basis. Noninterest income is earned through a variety of financial and transaction services provided to corporate and consumer clients such as trust and wealth advisory, deposit account, debit card, mortgage banking and title insurance. |
Adoption of New Accounting Standards: | Adoption of New Accounting Standards: ASU No. 2016-13: Financial Instruments – Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments On January 1, 2023, the Company adopted ASU 2016-13 - Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) (“ASC 326”) as amended. The new accounting guidance in this ASU replaces the incurred loss methodology with an expected loss methodology, which is referred to as the current expected credit loss (“CECL”) methodology. The CECL methodology is applicable to the measurement of credit losses on financial assets measured at amortized cost, including loan receivables and held-to-maturity (“HTM”) debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments that are noncancellable), and net investments in leases recognized by a lessor. The CECL methodology requires an entity to estimate credit losses over the life of an asset or off-balance sheet credit exposure. In addition, CECL made changes to the accounting for available-for-sale debt securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale debt securities if management determines that the Company does not intend to sell and it is more likely than not, that the Company will not be required to sell the securities. The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and off-balance sheet credit exposures. Results for reporting periods beginning on or after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. The transition adjustment of the CECL adoption included an increase in the ACL of $1.4 million and an increase of $1.1 million to establish a reserve for unfunded commitments, with a $2.0 million decrease to retained earnings, and $0.5 million of deferred tax being recorded as part of the deferred tax asset in the Company’s consolidated balance sheet. The following table details the impact of the adoption of ASC 326: January 1, 2023 ($ in thousands) Pre-ASC 326 adoption Impact of As reported Cummulative Effect on Retained Earnings Allowance for credit loss on loans Commercial & industrial $ 1,663 $ 230 $ 1,893 $ 182 Commercial real estate - owner occupied 1,696 54 1,750 43 Commercial real estate - nonowner occupied 4,584 1,015 5,599 801 Agricultural 611 (194 ) 417 (153 ) Residential real estate 4,438 360 4,798 284 Home equity line of credit (HELOC) 547 (76 ) 471 (60 ) Consumer 279 (17 ) 262 (13 ) Total ACL on loans $ 13,818 $ 1,372 $ 15,190 $ 1,084 ACL on off-balance sheet commitments $ - $ 1,149 $ 1,149 $ 907 ASU No. 2022-02: Financial Instruments – Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures On January 1, 2023, the Company adopted ASU 2022-02 Financial Instruments - Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures, which removed the existing measurement and disclosure requirements for loans considered to be Troubled Debt Restructurings (“TDRs”) and added additional disclosure requirements related to modifications provided to borrowers experiencing financial difficulty. Prior to adoption of ASU 2022-02, a change in contractual terms of a loan where a borrower was experiencing financial difficulty and received a concession not available through other sources was required to be disclosed as a TDR, whereas now a borrower that is experiencing financial difficulty and receives a modification in the form of principal forgiveness, interest rate reduction, an other-than-insignificant payment delay or a term extension in the current period needs to be disclosed. The amendment was adopted prospectively and had no impact on the Company’s consolidated financial statements aside from additional and revised financial statement disclosures (See Note 4 to the Consolidated Financial Statements). ASU No. 2020-04: Reference Rate Reform – Facilitation of the Effects of Reference Rate Reform on Financial Reporting (Topic 848) This guidance provides temporary options to ease the potential burden in accounting for reference rate reform. It is intended to help stakeholders during the global market-wide reference rate transition period. The guidance is effective as of March 12, 2020 through December 31, 2022. However, a deferral of the implementation of the Reference Rate Reform was issued in December of 2022, which extends the implementation to December 31, 2024. The Company has implemented a replacement for the reference rate and has determined that the changes did not have a material impact on the Company’s consolidated financial statements. ASU No. 2023-02: Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (ASU 2023-02). This ASU permits reporting entities to elect to account for their tax equity investments, regardless of the tax credit program from which the income tax credits are received, using the proportional amortization if certain conditions are met. A reporting entity makes an accounting policy election to apply the proportional amortization method on a tax-credit-by-tax-credit-program basis rather than electing to apply the proportional amortization method at the reporting entity level or to individual investments. The Company adopted the standard using a modified retrospective transition approach to the amendments related to our low income housing tax credit (“LIHTC”) investments that are eligible to apply proportional amortization. The adoption of this standard did not have a material effect on the Company’s operating results or financial condition. |
Accounting Standards not yet adopted | Accounting Standards not yet adopted: ASU No. 2023-09: Income Taxes (Topic 740): Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” The amendments in this update address investor requests for more transparency about income tax information through improvements to income tax disclosures, primarily related to effective tax rate reconciliation and information related to income taxes paid, among certain other amendments to improve the effectiveness of such disclosures. The amendments of this ASU are effective for fiscal years beginning after December 15, 2024 and are to be applied on a prospective basis. Adoption of this ASU is not expected to have a material impact on the Company’s Consolidated Financial Statements. |
Organization and Summary of S_2
Organization and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Organization and Summary of Significant Accounting Policies [Abstract] | |
Schedule of Impact of the Adoption of ASC 326 | The following table details the impact of the adoption of ASC 326: January 1, 2023 ($ in thousands) Pre-ASC 326 adoption Impact of As reported Cummulative Effect on Retained Earnings Allowance for credit loss on loans Commercial & industrial $ 1,663 $ 230 $ 1,893 $ 182 Commercial real estate - owner occupied 1,696 54 1,750 43 Commercial real estate - nonowner occupied 4,584 1,015 5,599 801 Agricultural 611 (194 ) 417 (153 ) Residential real estate 4,438 360 4,798 284 Home equity line of credit (HELOC) 547 (76 ) 471 (60 ) Consumer 279 (17 ) 262 (13 ) Total ACL on loans $ 13,818 $ 1,372 $ 15,190 $ 1,084 ACL on off-balance sheet commitments $ - $ 1,149 $ 1,149 $ 907 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Common Share | EPS for the years ended December 31, 2023 and 2022 is computed as follows: Twelve Months Ended ($ and outstanding shares in thousands - except per share data) 2023 2022 Distributed earnings allocated to common shares $ 3,584 $ 3,412 Undistributed earnings allocated to common shares 8,482 9,082 Net earnings allocated to common shares 12,066 12,494 Net earnings allocated to participating securities 29 27 Net Income allocated to common shares and participating securities $ 12,095 $ 12,521 Weighted average shares outstanding for basic earnings per share 6,829 7,005 Dilutive effect of stock compensation 88 73 Weighted average shares outstanding for diluted earnings per share 6,917 7,078 Basic earnings per common share $ 1.77 $ 1.79 Diluted earnings per common share $ 1.75 $ 1.77 |
Available-for-Sale Securities (
Available-for-Sale Securities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Available-for-Sale Securities [Abstract] | |
Schedule of Amortized Cost and Fair Values with Gross Unrealized Gains and Losses | The amortized cost and appropriate fair values, together with gross unrealized gains and losses, of available-for-sale securities are as follows: Gross Gross Amortized Unrealized Unrealized ($ in thousands) Cost Gains Losses Fair Value December 31, 2023 U.S. Treasury and Government agencies $ 7,339 $ 1 $ (823 ) $ 6,517 Mortgage-backed securities 221,717 3 (32,853 ) 188,867 State and political subdivisions 11,212 8 (1,322 ) 9,898 Other corporate securities 17,200 - (2,774 ) 14,426 Totals $ 257,468 $ 12 $ (37,772 ) $ 219,708 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value December 31, 2022 U.S. Treasury and Government agencies $ 7,636 $ - $ (872 ) $ 6,764 Mortgage-backed securities 241,741 4 (35,910 ) 205,835 State and political subdivisions 12,862 10 (1,769 ) 11,103 Other corporate securities 17,200 - (2,122 ) 15,078 Totals $ 279,439 $ 14 $ (40,673 ) $ 238,780 |
Schedule of Amortized Cost and Fair Value of Securities Available-For-Sale | The amortized cost and fair value of securities available-for-sale at December 31, 2023, by contractual maturity, are shown below. Expected maturities differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair ($ in thousands) Cost Value Within one year $ 809 $ 800 Due after one year through five years 1,903 1,839 Due after five years through ten years 24,483 20,824 Due after ten years 8,556 7,378 35,751 30,841 Mortgage-backed securities 221,717 188,867 Totals $ 257,468 $ 219,708 |
Schedule of Securities with Unrealized Losses | The following tables present securities with unrealized losses at December 31, 2023 and 2022: ($ in thousands) Less than 12 Months 12 Months or Longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2023 U.S. Treasury and Government agencies $ - $ - $ 6,022 $ (823 ) $ 6,022 $ (823 ) Mortgage-backed securities - - 188,508 (32,853 ) 188,508 (32,853 ) State and political subdivisions - - 8,541 (1,322 ) 8,541 (1,322 ) Other corporate securities - - 13,926 (2,774 ) 13,926 (2,774 ) Totals $ - $ - $ 216,997 $ (37,772 ) $ 216,997 $ (37,772 ) Less than 12 Months 12 Months or Longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2022 U.S. Treasury and Government agencies $ 3,788 $ (452 ) $ 2,974 $ (420 ) $ 6,762 $ (872 ) Mortgage-backed securities 52,351 (5,234 ) 153,055 (30,676 ) 205,406 (35,910 ) State and political subdivisions 7,461 (1,370 ) 1,268 (399 ) 8,729 (1,769 ) Other corporate securities 12,015 (1,736 ) 2,564 (386 ) 14,579 (2,122 ) Totals $ 75,615 $ (8,792 ) $ 159,861 $ (31,881 ) $ 235,476 $ (40,673 ) |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Loans and Allowance for Credit Losses [Abstract] | |
Schedule of Categories of Loans | The following tables present the categories of loans at December 31, 2023 and 2022: Total Loans ($ in thousands) 2023 2022 Commercial & industrial $ 126,716 $ 128,393 Commercial real estate - owner occupied 126,717 110,929 Commercial real estate - nonowner occupied 297,323 301,880 Agricultural 65,659 64,505 Residential real estate 318,123 291,368 Home equity line of credit (HELOC) 47,845 45,056 Consumer 17,829 19,944 Total loans 1,000,212 962,075 Allowance for credit losses (15,786 ) (13,818 ) Loans, net $ 984,426 $ 948,257 |
Schedule of Loan Commitments, Unused Lines of Credit and Standby Letters of Credit | Listed below is a summary of loan commitments, unused lines of credit, and standby letters of credit as of December 31, 2023 and 2022. ($ in thousands) 2023 2022 Loan commitments and unused lines of credit $ 201,605 $ 221,668 Standby letters of credit 1,184 1,336 Totals $ 202,789 $ 223,004 |
Schedule of Activity Related to The Allowance for Credit Losses | The following table summarizes the activity related to the ACL for the twelve months ended December 31, 2023 under the CECL methodology. ($ in thousands) Balance, Impact of Chargeoffs Recoveries Provision for Balance, end Commercial & industrial $ 1,663 $ 230 $ - $ - $ 110 $ 2,003 Commercial real estate - owner occupied 1,696 54 - - 202 1,952 Commercial real estate - nonowner occupied 4,584 1,015 - - 119 5,718 Agricultural 611 (194 ) - - 23 440 Residential real estate 4,438 360 (53 ) 1 190 4,936 HELOC 547 (76 ) - - 39 510 Consumer 279 (17 ) (65 ) 25 5 227 Total $ 13,818 $ 1,372 $ (118 ) $ 26 $ 688 $ 15,786 ($ in thousands) Balance, Impact of Chargeoffs Recoveries Provision for Balance, end Commercial & industrial $ 1,890 $ - $ - $ - $ (227 ) $ 1,663 Commercial real estate - owner occupied 2,564 - - - (868 ) 1,696 Commercial real estate - nonowner occupied 4,217 - - - 367 4,584 Agricultural 599 - - - 12 611 Residential real estate 3,515 - - - 923 4,438 HELOC 579 - (34 ) 47 (45 ) 547 Consumer 441 - - - (162 ) 279 Total $ 13,805 $ - $ (34 ) $ 47 $ - $ 13,818 |
Schedue of Gross Chargeoffs | The following table presents gross chargeoffs for the year ended December 31, 2023 by loan category and origination year. ($ in thousands) Term Loans by Year of Origination Revolving December 31, 2023 2023 2022 2021 2020 2019 Prior Loans Total Commercial & industrial $ - $ - $ - $ - $ - $ - $ - $ - Commercial real estate - owner occupied - - - - - - - - Commercial real estate - nonowner occupied - - - - - - - - Agricultural - - - - - - - - Residential real estate - - 32 21 - - - 53 Home equity line of credit (HELOC) - - - - - - - - Consumer - 12 8 11 - - 34 65 $ - $ 12 $ 40 $ 32 $ - $ - $ 34 $ 118 |
Schedule of Presents an Analysis of Collateral-Dependent Loans | The following table presents an analysis of collateral-dependent loans of the Company as of December 31, 2023. ($ in thousands) Collateral Type Allocated December 31, 2023 Real Estate Other Total Allowance Commercial & industrial $ 604 $ - $ 604 $ 97 Commercial real estate - owner occupied - - - - Commercial real estate - nonowner occupied 284 - 284 40 Agricultural - - - - Residential real estate 1,023 - 1,023 18 HELOC - - - - Consumer - - - - Total $ 1,911 $ - $ 1,911 $ 155 |
Schedule of Allowance for Loan Losses and Recorded Investment | The following table disaggregates the allowance for loan losses and recorded investment in loans by impairment methodology under the incurred loss methodology as of December 31, 2022. December 31, 2022 Commercial & industrial Commercial real estate Agricultural Residential real estate Consumer Total Allowance for loan losses: Ending allowance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ 138 $ 2 $ 140 Collectively evaluated for impairment $ 1,663 $ 6,280 $ 611 $ 4,300 $ 824 $ 13,678 Totals $ 1,663 $ 6,280 $ 611 $ 4,438 $ 826 $ 13,818 Loans: Individually evaluated for impairment $ 204 $ 347 $ - $ 2,863 $ 114 $ 3,528 Collectively evaluated for impairment $ 128,189 $ 412,462 $ 64,505 $ 288,505 $ 64,886 $ 958,547 Totals $ 128,393 $ 412,809 $ 64,505 $ 291,368 $ 65,000 $ 962,075 |
Schedue of Credit Risk Profile of Company's Loan Portfolio Based on Rating Category | The following table presents loan balances by credit quality indicators by year of origination as of December 31, 2023. ($ in thousands) Term Loans by Year of Origination Revolving Revolving Loans Converted December 31, 2023 2023 2022 2021 2020 2019 Prior Loans to Term Total Commercial & industrial Pass (1 - 4) $ 17,239 $ 18,076 $ 19,143 $ 10,573 $ 7,449 $ 5,965 $ 45,831 $ 444 $ 124,720 Special Mention (5) - 731 - 64 - 140 201 - 1,136 Substandard (6) - 41 - - 25 137 - 80 283 Doubtful (7) 195 - 226 - 1 100 50 5 577 Loss (8) - - - - - - - - - Total $ 17,434 $ 18,848 $ 19,369 $ 10,637 $ 7,475 $ 6,342 $ 46,082 $ 529 $ 126,716 Commercial real estate - owner occupied Pass (1 - 4) $ 29,253 $ 21,427 $ 26,808 $ 12,931 $ 12,881 $ 20,409 $ 112 $ 173 $ 123,994 Special Mention (5) - - - 2,338 358 - - - 2,696 Substandard (6) - - - - - - - - - Doubtful (7) - - 26 - 1 - - - 27 Loss (8) - - - - - - - - - Total $ 29,253 $ 21,427 $ 26,834 $ 15,269 $ 13,240 $ 20,409 $ 112 $ 173 $ 126,717 Commercial real estate - nonowner occupied Pass (1 - 4) $ 52,915 $ 67,285 $ 47,658 $ 46,364 $ 30,561 $ 47,895 $ 2,377 $ - $ 295,055 Special Mention (5) - - - - 838 1,134 - - 1,972 Substandard (6) - - - - - 154 18 - 172 Doubtful (7) - - - - - 124 - - 124 Loss (8) - - - - - - - - - Total $ 52,915 $ 67,285 $ 47,658 $ 46,364 $ 31,399 $ 49,307 $ 2,395 $ - $ 297,323 Agricultural Pass (1 - 4) $ 9,496 $ 16,131 $ 12,940 $ 3,029 $ 1,859 $ 9,801 $ 12,403 $ - $ 65,659 Special Mention (5) - - - - - - - - - Substandard (6) - - - - - - - - - Doubtful (7) - - - - - - - - - Loss (8) - - - - - - - - - Total $ 9,496 $ 16,131 $ 12,940 $ 3,029 $ 1,859 $ 9,801 $ 12,403 $ - $ 65,659 Residential real estate Pass (1 - 4) $ 53,013 $ 110,531 $ 85,075 $ 31,558 $ 10,425 $ 22,564 $ 1,816 $ 1,300 $ 316,282 Special Mention (5) - - - - - - - - - Substandard (6) - - 361 54 485 920 - - 1,820 Doubtful (7) - - - - - 21 - - 21 Loss (8) - - - - - - - - - Total $ 53,013 $ 110,531 $ 85,436 $ 31,612 $ 10,910 $ 23,505 $ 1,816 $ 1,300 $ 318,123 Home equity line of credit (HELOC) Pass (1 - 4) $ - $ - $ 46 $ 18 $ 85 $ 94 $ 40,932 $ 6,492 $ 47,667 Special Mention (5) - - - - - 59 20 99 178 Substandard (6) - - - - - - - - - Doubtful (7) - - - - - - - - - Loss (8) - - - - - - - - - Total $ - $ - $ 46 $ 18 $ 85 $ 153 $ 40,952 $ 6,591 $ 47,845 Consumer Pass (1 - 4) $ 3,296 $ 5,142 $ 1,429 $ 740 $ 221 $ 128 $ 6,863 $ - $ 17,819 Special Mention (5) - - - 1 - - - - 1 Substandard (6) - 9 - - - - - - 9 Doubtful (7) - - - - - - - - - Loss (8) - - - - - - - - - Total $ 3,296 $ 5,151 $ 1,429 $ 741 $ 221 $ 128 $ 6,863 $ - $ 17,829 Total Loans Pass (1 - 4) $ 165,212 $ 238,592 $ 193,099 $ 105,213 $ 63,481 $ 106,856 $ 110,334 $ 8,409 $ 991,196 Special Mention (5) - 731 - 2,403 1,196 1,333 221 99 5,983 Substandard (6) - 50 361 54 510 1,211 18 80 2,284 Doubtful (7) 195 - 252 - 2 245 50 5 749 Loss (8) - - - - - - - - - Total Loans $ 165,407 $ 239,373 $ 193,712 $ 107,670 $ 65,189 $ 109,645 $ 110,623 $ 8,593 $ 1,000,212 |
Schedule of Credit Quality Indicators and Loan Categories | The following table presents loan balances by credit quality indicators and loan categories as of December 31, 2022. ($ in thousands) Commercial Commercial Commercial Agricultural Residential HELOC Consumer Total Pass (1 - 4) $ 127,727 $ 107,999 $ 296,611 $ 64,505 $ 288,028 $ 44,746 $ 19,915 $ 949,531 Special Mention (5) 394 2,930 4,899 - - - - 8,223 Substandard (6) 158 - 160 - 3,316 310 29 3,973 Doubtful (7) 114 - 210 - 24 - - 348 Loss (8) - - - - - - - - Total Loans $ 128,393 $ 110,929 $ 301,880 $ 64,505 $ 291,368 $ 45,056 $ 19,944 $ 962,075 |
Schedule of Loan Portfolio Aging Analysis | The following tables present the Company’s loan portfolio aging analysis as of December 31, 2023 and 2022: ($ in thousands) 30-59 Days 60-89 Days Greater Than Total December 31, 2023 Past Due Past Due Past Due Due Current Total Loans Commercial & industrial $ 26 $ - $ 658 $ 684 $ 126,032 $ 126,716 Commercial real estate - owner occupied - - - - 126,717 126,717 Commercial real estate - nonowner occupied - - 29 29 297,294 297,323 Agricultural - - - - 65,659 65,659 Residential real estate - 222 395 617 317,506 318,123 HELOC - 8 67 75 47,770 47,845 Consumer 88 33 1 122 17,707 17,829 Total Loans $ 114 $ 263 $ 1,150 $ 1,527 $ 998,685 $ 1,000,212 30-59 Days 60-89 Days Greater Than Total December 31, 2022 Past Due Past Due Past Due Due Current Total Loans Commercial & industrial $ 23 $ 108 $ 114 $ 245 $ 128,148 $ 128,393 Commercial real estate - owner occupied - - - - 110,929 110,929 Commercial real estate - nonowner occupied 114 - 32 146 301,734 301,880 Agricultural - - - - 64,505 64,505 Residential real estate 98 411 1,287 1,796 289,572 291,368 HELOC 98 24 138 260 44,796 45,056 Consumer 61 26 22 109 19,835 19,944 Total Loans $ 394 $ 569 $ 1,593 $ 2,556 $ 959,519 $ 962,075 |
Schedule of Categories of Nonaccrual Loans | The categories of nonaccrual loans as of December 31, 2023 and December 31, 2022 are presented in the following table. 2023 2022 ($ in thousands) Nonaccrual loans with no allowance Nonaccrual loans with an allowance Total nonaccrual loans Total nonaccrual loans Commercial & industrial $ 651 $ 97 $ 748 $ 114 Commercial real estate - owner occupied 26 - 26 - Commercial real estate - nonowner occupied 141 - 141 210 Agricultural - - - - Residential real estate 1,694 18 1,712 3,020 Home equity line of credit (HELOC) 180 - 180 310 Consumer 11 - 11 28 Total loans $ 2,703 $ 115 $ 2,818 $ 3,682 |
Schedule of Presents an Analysis of Collateral-Dependent Loans | The following table presents impaired loan activity for the twelve months ended December 31, 2022: ($ in thousands) Recorded Unpaid Principal Related Average Recorded Interest Income Twelve Months Ended December 31, 2022 Investment Balance Allowance Investment Recognized With no related allowance recorded: Commercial & industrial $ 204 $ 627 $ - $ 650 $ 34 Commercial real estate - owner occupied - - - - - Commercial real estate - nonowner occupied 347 825 - 1,350 94 Agricultural - - - - - Residential real estate 1,491 1,558 - 1,793 65 HELOC 68 68 85 4 Consumer - - - - - With a specific allowance recorded: Commercial & industrial - - - - - Commercial real estate - owner occupied - - - - - Commercial real estate - nonowner occupied - - - - - Agricultural - - - - - Residential real estate 1,372 1,372 138 1,424 43 HELOC 46 46 2 51 2 Consumer - - - - - Totals: Commercial & industrial $ 204 $ 627 $ - $ 650 $ 34 Commercial real estate - owner occupied $ - $ - $ - $ - $ - Commercial real estate - nonowner occupied $ 347 $ 825 $ - $ 1,350 $ 94 Agricultural $ - $ - $ - $ - $ - Residential real estate $ 2,863 $ 2,930 $ 138 $ 3,217 $ 108 HELOC $ 114 $ 114 $ 2 $ 136 $ 6 Consumer $ - $ - $ - $ - $ - |
Schedule of Credit Losses for Unfunded Loan Commitments | The following table presents the balance and activity in the ACL for unfunded loan commitments for the twelve months ended December 31, 2023 and 2022. ($ in thousands) 2023 2022 Balance, beginning of period $ - $ - Adjustment for adoption of ASU 2016-13 1,149 - Provision for unfunded commitments (373 ) - Balance, end of period $ 776 $ - |
Schedule of Loans to Directors | Loans to directors and their related interests, including loans to companies for which directors are principal owners and executive officers are presented in the following table at December 31: ($ in thousands) 2023 2022 Balance at beginning of period $ 521 $ 521 Effect of change in compostioin of directors and executive officers - 112 New Term Loans - - Repayment of term loans (144 ) (53 ) Changes in balances of revolving lines of credit 58 (59 ) Balance at end of period $ 435 $ 521 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Premises and Equipment [Abstract] | |
Schedule of Premises and Equipment | Major classifications of premises and equipment stated at cost were as follows at December 31: ($ in thousands) 2023 2022 Land $ 3,563 $ 3,563 Buildings and improvements 27,663 27,699 Equipment 15,842 14,315 Construction in process 167 879 47,235 46,456 Less accumulated depreciation (25,857 ) (23,627 ) Net premises and equipment $ 21,378 $ 22,829 |
Goodwill and Intangibles (Table
Goodwill and Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangibles [Abstract] | |
Schedule of The Balance of Goodwill | The balance of goodwill was $23.2 million for the twelve months ended December 31, 2023 and December 31, 2022. 2023 2022 ($ in thousands) Carrying Amount Carrying Amount Beginning balance $ 23,239 $ 23,191 Measurement period adjustments - 48 Ending balance $ 23,239 $ 23,239 |
Schedule of Carrying basis and Accumulated Amortization of Intangible Assets | Carrying basis and accumulated amortization of intangible assets were as follows at December 31: 2023 2022 Gross Carrying Accumulated Gross Carrying Accumulated ($ in thousands) Amount Amortization Amount Amortization Core deposits intangible $ 660 $ (236 ) $ 660 $ (170 ) Customer relationship intangible 200 (200 ) 200 (176 ) Banking intangibles $ 860 $ (436 ) $ 860 $ (346 ) |
Mortgage Banking and Servicin_2
Mortgage Banking and Servicing Rights (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Mortgage Banking and Servicing Rights [Abstract] | |
Schedule of Mortgage Servicing Rights Capitalized and Related Amortization | The following table summarizes mortgage servicing rights capitalized and related amortization, along with activity in the related valuation allowance at December 31: ($ in thousands) 2023 2022 Carrying amount, beginning of year $ 13,503 $ 12,034 Mortgage servicing rights capitalized during the year 1,695 1,939 Mortgage servicing rights amortization during the year (1,242 ) (1,749 ) Net change in valuation allowance (50 ) 1,279 Carrying amount, end of year $ 13,906 $ 13,503 Valuation allowance: Beginning of year $ 177 $ 1,456 Increase (reduction) 50 (1,279 ) End of year $ 227 $ 177 Fair value, beginning of period $ 15,754 $ 12,629 Fair value, end of period $ 17,125 $ 15,754 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Financial Instruments [Abstract] | |
Schedule of Notional Amount and Fair Value of the Company’s Interest Rate Swaps | The table below presents the notional amount and fair value of the Company’s interest rate swaps, IRLCs and forward contracts utilized at December 31: 2023 2022 Notional Fair Notional Fair ($ in thousands) Amount Value Amount Value Asset Derivatives Derivatives not designated as hedging instruments Interest rate swaps associated with loans $ 68,381 $ 3,638 $ 66,477 $ 5,538 IRLCs 7,466 45 - - Forward contracts - - 5,500 26 Total contracts $ 75,847 $ 3,683 $ 71,977 $ 5,564 Liability Derivatives Derivatives not designated as hedging instruments Interest rate swaps associated with loans $ 68,381 $ (3,638 ) $ 66,477 $ (5,538 ) IRLCs - - 3,268 (20 ) Forward contracts 10,750 (37 ) - - Total contracts $ 79,131 $ (3,675 ) $ 69,745 $ (5,558 ) |
Schedule of the Amounts Included in the Consolidated Statements of Income for Non-Hedging Derivative Financial Instruments | The following table presents the amounts included in the consolidated statements of income for non-hedging derivative financial instruments for the twelve months ended December 31, 2023 and 2022. Amount of gain (loss) ($ in thousands) Statement of income classification 2023 2022 Interest rate swap contracts Other income $ 132 $ 19 IRLCs Gain on sale of mortgage loans & OMSR 65 (42 ) Forward contracts Gain on sale of mortgage loans & OMSR (63 ) 57 |
Schedule of Table Shows the Offsetting of Financial Assets and Derivative Assets | The following table shows the offsetting of financial assets and derivative assets at December 31, 2023 and 2022. Gross Gross Net amounts Gross amounts not offset ($ in thousands) recognized consolidated consolidated Financial Cash collateral Net December 31, 2023 Interest rate swaps $ 3,957 $ 319 $ 3,638 $ - $ 2,900 $ 738 December 31, 2022 Interest rate swaps $ 5,540 $ 2 $ 5,538 $ - $ 4,480 $ 1,058 |
Schedule of Table Shows the Offsetting of Financial Liabilities and Derivative Liabilities | The following table shows the offsetting of financial liabilities and derivative liabilities at December 31, 2023 and 2022. Gross Gross Net amounts Gross amounts not offset ($ in thousands) recognized consolidated consolidated Financial Cash collateral Net December 31, 2023 Interest rate swaps $ 3,957 $ 319 $ 3,638 $ - $ - $ 3,638 December 31, 2022 Interest rate swaps $ 5,540 $ 2 $ 5,538 $ - $ - $ 5,538 |
Interest-Bearing Deposits (Tabl
Interest-Bearing Deposits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Interest-Bearing Deposits [Abstract] | |
Schedule of Maturities of Time Deposit | At December 31, 2023, the scheduled maturities of time deposits were as follows: ($ in thousands) 2024 $ 197,374 2025 41,190 2026 14,459 2027 1,958 2028 528 Thereafter - Total $ 255,509 |
Short-Term Borrowings (Tables)
Short-Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Short-Term Borrowings [Abstract] | |
Schedule of Short-Term Borrowings | Short-Term Borrowings ($ in thousands) 2023 2022 Securities Sold Under Repurchase Agreements $ 13,387 $ 14,923 |
Federal Home Loan Bank (FHLB)_2
Federal Home Loan Bank (FHLB) Advances (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Federal Home Loan Bank (FHLB) Advances [Abstract] | |
Schedule of Aggregate Annual Maturities of FHLB Advances | Aggregate annual maturities of FHLB advances at December 31, 2023, were: ($ in thousands) Debt 2024 61,100 2026 5,000 2028 17,500 Total $ 83,600 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes [Abstract] | |
Schedule of Provision for Income Taxes | The provision for income taxes includes these components: For The Year Ended ($ in thousands) 2023 2022 Taxes currently payable $ 744 $ 86 Deferred provision 1,878 2,709 Income tax expense $ 2,622 $ 2,795 |
Schedule of Reconciliation of Income Tax Expense at the Statutory Rate | A reconciliation of income tax expense at the statutory rate to the Company’s actual income tax expense is shown below: For The Year Ended ($ in thousands) 2023 2022 Computed at the statutory rate (21%) $ 3,091 $ 3,216 Increase (decrease) resulting from Tax exempt interest (117 ) (111 ) BOLI income (187 ) (106 ) Sec. 831(b) election (198 ) (199 ) Other 33 (5 ) Actual tax expense $ 2,622 $ 2,795 |
Schedule of Tax Effects of Temporary Differences Related to Deferred Taxes | The tax effects of temporary differences related to deferred taxes shown on the balance sheets are: For The Year Ended ($ in thousands) 2023 2022 Deferred tax assets Allowance for credit losses $ 3,315 $ 2,902 Unrealized losses on available-for-sale securities 7,929 8,538 Capitalized research and development costs 90 117 Accrued bonus 124 142 Net operating loss 2,758 5,410 Other 819 854 15,035 17,963 Deferred tax liabilities Depreciation (983 ) (1,117 ) Mortgage servicing rights (2,920 ) (2,836 ) Purchase accounting adjustments (1,488 ) (1,598 ) Prepaids (475 ) (527 ) Net deferred loan costs (93 ) (93 ) Section 475 MTM (7,929 ) (8,538 ) FHLB stock dividends (122 ) (271 ) (14,010 ) (14,980 ) Net deferred tax asset $ 1,025 $ 2,983 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Regulatory Matters [Abstract] | |
Schedule of Actual Capital Amounts and Ratios | State Bank’s actual capital amounts and ratios are presented in the following table. Capital levels are presented for State Bank only as the Company is exempt from quarterly reporting at the holding company level: For Capital Adequacy To Be Well Capitalized Under Prompt Corrective Actual Purposes Action Procedures ($ in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2023 Tier I Capital to average assets $ 148,049 10.93 % $ 54,185 4.0 % $ 67,732 5.0 % Tier I Common equity capital to risk-weighted assets $ 148,049 13.42 % $ 49,640 4.5 % $ 71,702 6.5 % Tier I Capital to risk-weighted assets $ 148,049 13.42 % $ 66,186 6.0 % $ 88,249 8.0 % Total Risk-based capital to risk-weighted assets $ 161,872 14.67 % $ 88,249 8.0 % $ 110,311 10.0 % As of December 31, 2022 Tier I Capital to average assets $ 146,678 11.06 % $ 53,069 4.0 % $ 66,336 5.0 % Tier I Common equity capital to risk-weighted assets $ 146,678 13.42 % $ 49,200 4.5 % $ 71,067 6.5 % Tier I Capital to risk-weighted assets $ 146,678 13.42 % $ 65,600 6.0 % $ 87,466 8.0 % Total Risk-based capital to risk-weighted assets $ 160,346 14.67 % $ 87,466 8.0 % $ 109,333 10.0 % |
Share-Based Compensation Plan (
Share-Based Compensation Plan (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Compensation Plan [Abstract] | |
Schedule of Restricted Stock Activity | A summary of restricted stock activity under the Company’s LTI Plan as of December 31, 2023 and changes during the year ended is presented below: Shares Weighted- Nonvested, January 1, 2023 52,919 $ 19.23 Granted 28,664 16.53 Vested (31,810 ) 17.96 Forfeited (807 ) 18.27 Nonvested, December 31, 2023 48,966 $ 18.49 |
Disclosures about Fair Value _2
Disclosures about Fair Value of Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosures about Fair Value of Assets and Liabilities [Abstract] | |
Schedule of Fair Value Assets Measured on Recurring Basis | The following table presents the fair value measurements of securities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fell at December 31, 2023 and 2022: ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) U.S. Treasury and Government Agencies $ 6,517 $ - $ 6,517 $ - Mortgage-backed securities 188,867 - 188,867 - State and political subdivisions 9,898 - 9,898 - Other corporate securities 14,426 - 14,426 - Interest rate contracts - assets 3,638 - 3,638 - Interest rate contracts - liabilities (3,638 ) - (3,638 ) - Forward contracts (37 ) (37 ) - - IRLCs 45 - - 45 ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) U.S. Treasury and Government Agencies $ 6,764 $ - $ 6,764 $ - Mortgage-backed securities 205,835 - 205,835 - State and political subdivisions 11,103 - 11,103 - Other corporate securities 15,078 - 15,078 - Interest rate contracts - assets 5,538 - 5,538 - Interest rate contracts - liabilities (5,538 ) - (5,538 ) - Forward contracts 26 26 - - IRLCs (20 ) - - (20 ) |
Schedule of Fair Value Measurements Recognized in the Accompanying Consolidated Balance Sheets Using Significant Unobservable (Level 3) Inputs | The following table reconciles the beginning and ending balances of recurring fair value measurements recognized in the accompanying consolidated balance sheets using significant unobservable (Level 3) inputs for the years ended December 31, 2023 and 2022. for the Twelve Months Ended ($ in thousands) 2023 2022 Interest rate lock commitments Balance at beginning of period $ (20 ) $ 22 Change in fair value 65 (42 ) Balance at end of period $ 45 $ (20 ) |
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis | The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis and the level within the fair value hierarchy in which the fair value measurements fell at December 31, 2023 and 2022: ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) Collateral-dependent Individually evaluated loans $ 864 $ - $ - $ 864 Mortgage servicing rights 1,896 - - 1,896 ($ in thousands) Fair value at (Level 1) (Level 2) (Level 3) Collateral-dependent impaired loans $ 1,028 $ - $ - $ 1,028 Mortgage servicing rights 1,448 - - 1,448 |
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements | The following tables present quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements at December 31, 2023 and 2022: ($ in thousands) Fair value at Valuation Unobservable inputs Range Collateral-dependent individually evaluated loans $ 864 Market comparable properties Comparability adjustments (%) 2 - 100% (25 %) Mortgage servicing rights 1,896 Discounted cash flow Discount rate 11.01 % Constant prepayment rate 7.16 % P&I earnings credit 5.33 % T&I earnings credit 5.13 % Inflation for cost of servicing 3.50 % IRLCs 45 Discounted cash flow Loan closing rates 27% - 91 % ($ in thousands) Fair value at Valuation Unobservable inputs Range Collateral-dependent impaired loans $ 1,028 Market comparable properties Comparability adjustments (%) 8 - 21% (12 %) Mortgage servicing rights 1,448 Discounted cash flow Discount rate 11.39 % Constant prepayment rate 7.52 % P&I earnings credit 4.35 % T&I earnings credit 4.58 % Inflation for cost of servicing 3.50 % IRLCs (20 ) Discounted cash flow Loan closing rates 41% - 99 % |
Schedule of Estimated Fair Values Financial Instruments | the Company does not know whether the fair values shown below represent values at which the respective financial instruments could be sold individually or in the aggregate. ($ in thousands) Carrying Fair Fair value measurements using December 31,2023 amount value (Level 1) (Level 2) (Level 3) Financial assets Cash and due from banks $ 22,965 $ 22,965 $ 22,965 $ - $ - Interest bearing time deposits 1,535 1,535 - 1,535 - Loans held for sale 2,525 2,565 - 2,565 - Loans, net of allowance for credit losses 984,426 964,216 - - 964,216 Federal Reserve and FHLB Bank stock, at cost 7,279 7,279 - 7,279 - Interest receivable 4,657 4,657 - 4,657 - Financial liabilities Deposits $ 1,070,205 $ 1,078,028 $ 814,696 $ 263,332 $ - Short-term borrowings 13,387 13,387 - 13,387 - FHLB advances 83,600 83,368 - 83,368 - Trust preferred securities 10,310 9,759 - 9,759 - Subordinated debt, net of issuance costs 19,642 19,435 - 19,435 - Interest payable 2,443 2,443 - 2,443 - ($ in thousands) Carrying Fair Fair value measurements using December 31, 2022 amount value (Level 1) (Level 2) (Level 3) Financial assets Cash and due from banks $ 27,817 $ 27,817 $ 27,817 $ - $ - Interest bearing time deposits 2,131 2,131 - 2,131 - Loans held for sale 2,073 2,100 - 2,100 - Loans, net of allowance for loan losses 948,257 945,699 - - 945,699 Federal Reserve and FHLB Bank stock, at cost 6,326 6,326 - 6,326 - Interest receivable 4,091 4,091 - 4,091 - Financial liabilities Deposits $ 1,086,665 $ 1,090,718 $ 895,785 $ 194,933 $ - Short-term borrowings 14,923 14,923 - 14,923 - FHLB advances 60,000 59,886 - 59,886 - Trust preferred securities 10,310 9,674 - 9,674 - Subordinated debt, net of issuance costs 19,594 18,959 - 18,959 - Interest payable 769 769 - 769 - |
Parent Company Financial Info_2
Parent Company Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Parent Company Financial Information [Abstract] | |
Schedule of Condensed Balance Sheets | Condensed Balance Sheets ($ in thousands) 2023 2022 Assets Cash & cash equivalents $ 6,468 $ 4,655 Investment in banking subsidiaries 139,502 135,923 Investment in nonbanking subsidiaries 6,279 6,587 Other assets 2,726 2,076 Total assets $ 154,975 $ 149,241 Liabilities Trust preferred securities $ 10,000 $ 10,000 Sub debt net of issuance cost 19,642 19,594 Borrowings from nonbanking subsidiaries 310 310 Other liabilities & accrued interest payable 681 909 Total liabilities 30,633 30,813 Shareholders’ equity 124,342 118,428 Total liabilities and shareholders’ equity $ 154,975 $ 149,241 |
Schedule of Condensed Statements of Income | Condensed Statements of Income ($ in thousands) 2023 2022 Dividends from subsidiaries: Banking subsidiaries $ 10,000 $ - Nonbanking subsidiaries 700 750 Total income 10,700 750 Expenses Interest expense 1,494 1,139 Other expense 1,616 1,747 Total expenses 3,110 2,886 Income before income tax 7,590 (2,136 ) Income tax benefit (652 ) (613 ) Income (loss) before equity in undistributed income of subsidiaries 8,242 (1,523 ) Equity in undistributed income of subsidiaries Banking subsidiaries 3,290 13,426 Nonbanking subsidiaries 563 618 Total 3,853 14,044 Net income $ 12,095 $ 12,521 |
Schedule of Condensed Statements of Comprehensive Income (Loss) | Condensed Statements of Comprehensive Income (Loss) ($ in thousands) 2023 2022 Net income $ 12,095 $ 12,521 Other comprehensive income (loss): Available-for-sale investment securities: Gross unrealized holding gain (loss) arising in the period 2,897 (38,323 ) Related tax (expense) benefit (608 ) 8,048 Net effect on other comprehensive income (loss) 2,289 (30,275 ) Total comprehensive income (loss) $ 14,384 $ (17,754 ) |
Schedule of Condensed Statements of Cash Flows | Condensed Statements of Cash Flows ($ in thousands) 2023 2022 Operating activities Net income $ 12,095 $ 12,521 Items not requiring (providing) cash Equity in undistributed net income of subsidiaries (3,853 ) (14,044 ) Stock compensation expense 576 568 Other assets 230 973 Other liabilities (228 ) (502 ) Net cash provided by (used in) operating activities 8,820 (484 ) Financing activities Dividends on common shares (3,584 ) (3,407 ) Stock dividends on common shares - (8 ) Repurchase of common shares (3,471 ) (5,900 ) Other financing activities 48 48 Net cash used in financing activities (7,007 ) (9,267 ) Net change in cash and cash equivalents 1,813 (9,751 ) Cash and cash equivalents at beginning of year 4,655 14,406 Cash and cash equivalents at end of year $ 6,468 $ 4,655 |
Quarterly Financial Informati_2
Quarterly Financial Information (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information (unaudited) [Abstract] | |
Schedule of Quarterly Financial Information (unaudited) | ($ in thousands, except per share data) 2023 December September June March Interest income $ 15,126 $ 14,796 $ 14,406 $ 13,824 Interest expense 5,542 5,260 4,577 3,500 Net interest income 9,584 9,536 9,829 10,324 Provision for loan losses (74 ) (6 ) 145 250 Noninterest income 5,531 4,163 4,361 3,666 Noninterest expense 10,369 10,481 10,339 10,773 Income tax expense 937 537 631 517 Net income $ 3,883 $ 2,687 $ 3,075 $ 2,450 Basic earnings per common share $ 0.58 $ 0.39 $ 0.45 $ 0.35 Diluted earnings per common share $ 0.56 $ 0.39 $ 0.45 $ 0.35 Dividends per share $ 0.135 $ 0.130 $ 0.130 $ 0.125 2022 December September June March Interest income $ 12,936 $ 11,764 $ 10,474 $ 9,395 Interest expense 2,037 1,334 881 918 Net interest income 10,899 10,430 9,593 8,477 Provision for loan losses - - - - Noninterest income 3,713 4,043 4,673 5,802 Noninterest expense 10,268 10,385 10,802 10,859 Income tax expense 812 746 630 607 Net income $ 3,532 $ 3,342 $ 2,834 $ 2,813 Basic earnings per common share $ 0.51 $ 0.48 $ 0.40 $ 0.40 Diluted earnings per common share $ 0.50 $ 0.47 $ 0.40 $ 0.40 Dividends per share $ 0.125 $ 0.120 $ 0.120 $ 0.115 |
Organization and Summary of S_3
Organization and Summary of Significant Accounting Policies (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Basis of Presentation [Line Items] | |
Insured amount | $ 0.4 |
Cash held by the FRB | 5.9 |
Accrued interest receivable on available-for-sale debt securities | 0.7 |
Debt obligation | $ 20 |
Debt interest rate | 3.65% |
Allowance for credit losses | $ 1.4 |
Increase reserve unfunded commitments | 1.1 |
Decrease retained earning amount | 2 |
Income tax provision | $ 0.5 |
Minimum [Member] | |
Basis of Presentation [Line Items] | |
Weighted-average periods | 1 year |
Maximum [Member] | |
Basis of Presentation [Line Items] | |
Weighted-average periods | 8 years |
Software [Member] | Minimum [Member] | |
Basis of Presentation [Line Items] | |
Weighted-average periods | 1 year |
Software [Member] | Maximum [Member] | |
Basis of Presentation [Line Items] | |
Weighted-average periods | 3 years |
Organization and Summary of S_4
Organization and Summary of Significant Accounting Policies (Details) - Schedule of Impact of the Adoption of ASC 326 $ in Thousands | Jan. 01, 2023 USD ($) |
Pre-ASC 326 Adoption [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | $ 13,818 |
ACL on off-balance sheet commitments | |
Pre-ASC 326 Adoption [Member] | Commercial & industrial [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 1,663 |
Pre-ASC 326 Adoption [Member] | Commercial real estate - owner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 1,696 |
Pre-ASC 326 Adoption [Member] | Commercial real estate - nonowner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 4,584 |
Pre-ASC 326 Adoption [Member] | Agricultural [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 611 |
Pre-ASC 326 Adoption [Member] | Residential real estate [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 4,438 |
Pre-ASC 326 Adoption [Member] | Home equity line of credit (HELOC) [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 547 |
Pre-ASC 326 Adoption [Member] | Consumer [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 279 |
Impact of ASC 326 Adoption [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 1,372 |
ACL on off-balance sheet commitments | 1,149 |
Impact of ASC 326 Adoption [Member] | Commercial & industrial [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 230 |
Impact of ASC 326 Adoption [Member] | Commercial real estate - owner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 54 |
Impact of ASC 326 Adoption [Member] | Commercial real estate - nonowner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 1,015 |
Impact of ASC 326 Adoption [Member] | Agricultural [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | (194) |
Impact of ASC 326 Adoption [Member] | Residential real estate [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 360 |
Impact of ASC 326 Adoption [Member] | Home equity line of credit (HELOC) [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | (76) |
Impact of ASC 326 Adoption [Member] | Consumer [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | (17) |
As reported under ASC 326 [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 15,190 |
ACL on off-balance sheet commitments | 1,149 |
As reported under ASC 326 [Member] | Commercial & industrial [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 1,893 |
As reported under ASC 326 [Member] | Commercial real estate - owner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 1,750 |
As reported under ASC 326 [Member] | Commercial real estate - nonowner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 5,599 |
As reported under ASC 326 [Member] | Agricultural [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 417 |
As reported under ASC 326 [Member] | Residential real estate [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 4,798 |
As reported under ASC 326 [Member] | Home equity line of credit (HELOC) [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 471 |
As reported under ASC 326 [Member] | Consumer [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 262 |
Cummulative Effect on Retained Earnings [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 1,084 |
ACL on off-balance sheet commitments | 907 |
Cummulative Effect on Retained Earnings [Member] | Commercial & industrial [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 182 |
Cummulative Effect on Retained Earnings [Member] | Commercial real estate - owner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 43 |
Cummulative Effect on Retained Earnings [Member] | Commercial real estate - nonowner occupied [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 801 |
Cummulative Effect on Retained Earnings [Member] | Agricultural [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | (153) |
Cummulative Effect on Retained Earnings [Member] | Residential real estate [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | 284 |
Cummulative Effect on Retained Earnings [Member] | Home equity line of credit (HELOC) [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | (60) |
Cummulative Effect on Retained Earnings [Member] | Consumer [Member] | |
Allowance for credit loss on loans | |
Total ACL on loans | $ (13) |
Earnings Per Share (Details)
Earnings Per Share (Details) | Jan. 10, 2022 $ / shares |
Earnings Per Share [Abstract] | |
Common stock dividend payable, percentage | 5% |
Closing price per share | $ 19.89 |
Earnings Per Share (Details) -
Earnings Per Share (Details) - Schedule of Earnings Per Common Share - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Diluted Earnings Per Common Share [Abstract] | ||
Distributed earnings allocated to common shares | $ 3,584 | $ 3,412 |
Undistributed earnings allocated to common shares | 8,482 | 9,082 |
Net earnings allocated to common shares | 12,066 | 12,494 |
Net earnings allocated to participating securities | 29 | 27 |
Net Income allocated to common shares and participating securities | $ 12,095 | $ 12,521 |
Weighted average shares outstanding for basic earnings per share (in Shares) | 6,829 | 7,005 |
Dilutive effect of stock compensation | $ 88 | $ 73 |
Weighted average shares outstanding for diluted earnings per share (in Shares) | 6,917 | 7,078 |
Basic earnings per common share (in Dollars per share) | $ 1.77 | $ 1.79 |
Diluted earnings per common share (in Dollars per share) | $ 1.75 | $ 1.77 |
Available-for-Sale Securities_2
Available-for-Sale Securities (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Available-for-Sale Securities [Abstract] | ||
Fair value of securities pledged as collateral | $ 89,700 | $ 53,900 |
Securities delivered for repurchase agreements | $ 19,700 | 17,800 |
Historical cost (in Dollars per share) | $ 0.01 | |
Pre-tax gain | $ 1,450 | |
Fair value of investments | $ 217,000 | $ 235,500 |
Fair value investments percentage | 99% | 99% |
Available-for-Sale Securities_3
Available-for-Sale Securities (Details) - Schedule of Amortized Cost and Fair Values with Gross Unrealized Gains and Losses - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Available-for-Sale Securities [Line Items] | ||
Amortized Cost | $ 257,468 | $ 279,439 |
Gross Unrealized Gains | 12 | 14 |
Gross Unrealized Losses | (37,772) | (40,673) |
Fair Value | 219,708 | 238,780 |
U.S. Treasury and Government agencies [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Amortized Cost | 7,339 | 7,636 |
Gross Unrealized Gains | 1 | |
Gross Unrealized Losses | (823) | (872) |
Fair Value | 6,517 | 6,764 |
Mortgage-backed securities [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Amortized Cost | 221,717 | 241,741 |
Gross Unrealized Gains | 3 | 4 |
Gross Unrealized Losses | (32,853) | (35,910) |
Fair Value | 188,867 | 205,835 |
State and political subdivisions [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Amortized Cost | 11,212 | 12,862 |
Gross Unrealized Gains | 8 | 10 |
Gross Unrealized Losses | (1,322) | (1,769) |
Fair Value | 9,898 | 11,103 |
Other corporate securities [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Amortized Cost | 17,200 | 17,200 |
Gross Unrealized Gains | ||
Gross Unrealized Losses | (2,774) | (2,122) |
Fair Value | $ 14,426 | $ 15,078 |
Available-for-Sale Securities_4
Available-for-Sale Securities (Details) - Schedule of Amortized Cost and Fair Value of Securities Available-For-Sale $ in Thousands | Dec. 31, 2023 USD ($) |
Amortized Cost [Member] | |
Available-for-Sale Securities [Line Items] | |
Available for Sale, Amortized Cost, Within one year | $ 809 |
Available for Sale, Amortized Cost, Due after one year through five years | 1,903 |
Available for Sale, Amortized Cost, Due after five years through ten years | 24,483 |
Available for Sale, Amortized Cost, Due after ten years | 8,556 |
Available for Sale, Amortized Cost | 35,751 |
Mortgage-backed securities | 221,717 |
Totals | 257,468 |
Fair Value [Member] | |
Available-for-Sale Securities [Line Items] | |
Available for Sale, Fair Value, Within one year | 800 |
Available for Sale, Fair Value, Due after one year through five years | 1,839 |
Available for Sale, Fair Value, Due after five years through ten years | 20,824 |
Available for Sale, Fair Value, Due after ten years | 7,378 |
Available for Sale, Fair Value | 30,841 |
Mortgage-backed securities | 188,867 |
Totals | $ 219,708 |
Available-for-Sale Securities_5
Available-for-Sale Securities (Details) - Schedule of Securities with Unrealized Losses - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Available-for-Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | $ 75,615 | |
Less than 12 Months, Unrealized Losses | (8,792) | |
12 Months or Longer, Fair Value | 216,997 | 159,861 |
12 Months or Longer, Unrealized Losses | (37,772) | (31,881) |
Total Fair Value | 216,997 | 235,476 |
Total Unrealized Losses | (37,772) | (40,673) |
U.S. Treasury and Government agencies [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 3,788 | |
Less than 12 Months, Unrealized Losses | (452) | |
12 Months or Longer, Fair Value | 6,022 | 2,974 |
12 Months or Longer, Unrealized Losses | (823) | (420) |
Total Fair Value | 6,022 | 6,762 |
Total Unrealized Losses | (823) | (872) |
Mortgage-backed securities [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 52,351 | |
Less than 12 Months, Unrealized Losses | (5,234) | |
12 Months or Longer, Fair Value | 188,508 | 153,055 |
12 Months or Longer, Unrealized Losses | (32,853) | (30,676) |
Total Fair Value | 188,508 | 205,406 |
Total Unrealized Losses | (32,853) | (35,910) |
State and political subdivisions [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 7,461 | |
Less than 12 Months, Unrealized Losses | (1,370) | |
12 Months or Longer, Fair Value | 8,541 | 1,268 |
12 Months or Longer, Unrealized Losses | (1,322) | (399) |
Total Fair Value | 8,541 | 8,729 |
Total Unrealized Losses | (1,322) | (1,769) |
Other corporate securities [Member] | ||
Available-for-Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 12,015 | |
Less than 12 Months, Unrealized Losses | (1,736) | |
12 Months or Longer, Fair Value | 13,926 | 2,564 |
12 Months or Longer, Unrealized Losses | (2,774) | (386) |
Total Fair Value | 13,926 | 14,579 |
Total Unrealized Losses | $ (2,774) | $ (2,122) |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 01, 2023 | Dec. 31, 2023 | |
Loans and Allowance for Credit Losses [Line Items] | ||
Total allowance for credit loss | $ 1,400 | |
Outstanding balance | $ 100,000 | |
Homogenous loan | $ 100,000 |
Loans and Allowance for Credi_4
Loans and Allowance for Credit Losses (Details) - Schedule of Categories of Loans - Total Loans [Member] - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | $ 1,000,212 | $ 962,075 |
Allowance for credit losses | (15,786) | (13,818) |
Loans, net | 984,426 | 948,257 |
Commercial & industrial [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | 126,716 | 128,393 |
Commercial real estate - owner occupied [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | 126,717 | 110,929 |
Commercial real estate - nonowner occupied [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | 297,323 | 301,880 |
Agricultural [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | 65,659 | 64,505 |
Residential real estate [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | 318,123 | 291,368 |
Home equity line of credit (HELOC) [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | 47,845 | 45,056 |
Consumer [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Total loans | $ 17,829 | $ 19,944 |
Loans and Allowance for Credi_5
Loans and Allowance for Credit Losses (Details) - Schedule of Loan Commitments, Unused Lines of Credit and Standby Letters of Credit - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Line of Credit Facility [Line Items] | ||
Totals | $ 202,789 | $ 223,004 |
Loan commitments and unused lines of credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Totals | 201,605 | 221,668 |
Standby letters of credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Totals | $ 1,184 | $ 1,336 |
Loans and Allowance for Credi_6
Loans and Allowance for Credit Losses (Details) - Schedule of Activity Related to The Allowance for Credit Losses - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | $ 13,818 | $ 13,805 |
Impact of Adopting ASC 326 | 1,372 | |
Chargeoffs | (118) | (34) |
Recoveries | 26 | 47 |
Provision for Credit Losses | 688 | |
Balance, end of period | 15,786 | 13,818 |
Commercial & industrial [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | 1,663 | 1,890 |
Impact of Adopting ASC 326 | 230 | |
Chargeoffs | ||
Recoveries | ||
Provision for Credit Losses | 110 | (227) |
Balance, end of period | 2,003 | 1,663 |
Commercial real estate - owner occupied [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | 1,696 | 2,564 |
Impact of Adopting ASC 326 | 54 | |
Chargeoffs | ||
Recoveries | ||
Provision for Credit Losses | 202 | (868) |
Balance, end of period | 1,952 | 1,696 |
Commercial real estate - nonowner occupied [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | 4,584 | 4,217 |
Impact of Adopting ASC 326 | 1,015 | |
Chargeoffs | ||
Recoveries | ||
Provision for Credit Losses | 119 | 367 |
Balance, end of period | 5,718 | 4,584 |
Agricultural [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | 611 | 599 |
Impact of Adopting ASC 326 | (194) | |
Chargeoffs | ||
Recoveries | ||
Provision for Credit Losses | 23 | 12 |
Balance, end of period | 440 | 611 |
Residential real estate [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | 4,438 | 3,515 |
Impact of Adopting ASC 326 | 360 | |
Chargeoffs | (53) | |
Recoveries | 1 | |
Provision for Credit Losses | 190 | 923 |
Balance, end of period | 4,936 | 4,438 |
HELOC [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | 547 | 579 |
Impact of Adopting ASC 326 | (76) | |
Chargeoffs | (34) | |
Recoveries | 47 | |
Provision for Credit Losses | 39 | (45) |
Balance, end of period | 510 | 547 |
Consumer [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Balance, beginning of period | 279 | 441 |
Impact of Adopting ASC 326 | (17) | |
Chargeoffs | (65) | |
Recoveries | 25 | |
Provision for Credit Losses | 5 | (162) |
Balance, end of period | $ 227 | $ 279 |
Loans and Allowance for Credi_7
Loans and Allowance for Credit Losses (Details) - Schedue of Gross Chargeoffs - Gross Chargeoff [Member] $ in Thousands | Dec. 31, 2023 USD ($) |
Schedue of Gross Chargeoffs [Line Items] | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | 12 |
Term Loans by Year of Origination 2021 | 40 |
Term Loans by Year of Origination 2020 | 32 |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | 34 |
Total | 118 |
Commercial & industrial [Member] | |
Schedue of Gross Chargeoffs [Line Items] | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Total | |
Commercial real estate - nonowner occupied [Member] | |
Schedue of Gross Chargeoffs [Line Items] | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Total | |
Agricultural [Member] | |
Schedue of Gross Chargeoffs [Line Items] | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Total | |
Residential real estate [Member] | |
Schedue of Gross Chargeoffs [Line Items] | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | 32 |
Term Loans by Year of Origination 2020 | 21 |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Total | 53 |
Home equity line of credit (HELOC) [Member] | |
Schedue of Gross Chargeoffs [Line Items] | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Total | |
Consumer [Member] | |
Schedue of Gross Chargeoffs [Line Items] | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | 12 |
Term Loans by Year of Origination 2021 | 8 |
Term Loans by Year of Origination 2020 | 11 |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | 34 |
Total | $ 65 |
Loans and Allowance for Credi_8
Loans and Allowance for Credit Losses (Details) - Schedule of Presents an Analysis of Collateral-Dependent Loans $ in Thousands | Dec. 31, 2023 USD ($) |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | $ 1,911 |
Allocated Allowance | 155 |
Commercial & industrial [Member] | |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | 604 |
Allocated Allowance | 97 |
Commercial real estate - nonowner occupied [Member] | |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | 284 |
Allocated Allowance | 40 |
Residential real estate [Member] | |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | 1,023 |
Allocated Allowance | 18 |
Real Estate [Member] | |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | 1,911 |
Real Estate [Member] | Commercial & industrial [Member] | |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | 604 |
Real Estate [Member] | Commercial real estate - nonowner occupied [Member] | |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | 284 |
Real Estate [Member] | Residential real estate [Member] | |
Schedule of Presents an Analysis of Collateral-Dependent Loans [Line Items] | |
Collateral Type Real Estate | $ 1,023 |
Loans and Allowance for Credi_9
Loans and Allowance for Credit Losses (Details) - Schedule of Allowance for Loan Losses and Recorded Investment $ in Thousands | Dec. 31, 2022 USD ($) |
Ending allowance attributable to loans: | |
Individually evaluated for impairment | $ 140 |
Collectively evaluated for impairment | 13,678 |
Totals | 13,818 |
Loans: | |
Individually evaluated for impairment | 3,528 |
Collectively evaluated for impairment | 958,547 |
Totals | 962,075 |
Commercial & industrial [Member] | |
Ending allowance attributable to loans: | |
Individually evaluated for impairment | |
Collectively evaluated for impairment | 1,663 |
Totals | 1,663 |
Loans: | |
Individually evaluated for impairment | 204 |
Collectively evaluated for impairment | 128,189 |
Totals | 128,393 |
Commercial real estate [Member] | |
Ending allowance attributable to loans: | |
Individually evaluated for impairment | |
Collectively evaluated for impairment | 6,280 |
Totals | 6,280 |
Loans: | |
Individually evaluated for impairment | 347 |
Collectively evaluated for impairment | 412,462 |
Totals | 412,809 |
Agricultural [Member] | |
Ending allowance attributable to loans: | |
Individually evaluated for impairment | |
Collectively evaluated for impairment | 611 |
Totals | 611 |
Loans: | |
Individually evaluated for impairment | |
Collectively evaluated for impairment | 64,505 |
Totals | 64,505 |
Residential real estate [Member] | |
Ending allowance attributable to loans: | |
Individually evaluated for impairment | 138 |
Collectively evaluated for impairment | 4,300 |
Totals | 4,438 |
Loans: | |
Individually evaluated for impairment | 2,863 |
Collectively evaluated for impairment | 288,505 |
Totals | 291,368 |
Consumer [Member] | |
Ending allowance attributable to loans: | |
Individually evaluated for impairment | 2 |
Collectively evaluated for impairment | 824 |
Totals | 826 |
Loans: | |
Individually evaluated for impairment | 114 |
Collectively evaluated for impairment | 64,886 |
Totals | $ 65,000 |
Loans and Allowance for Cred_10
Loans and Allowance for Credit Losses (Details) - Schedue of Credit Risk Profile of Company's Loan Portfolio Based on Rating Category $ in Thousands | Dec. 31, 2023 USD ($) |
Commercial & industrial [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | $ 17,434 |
Term Loans by Year of Origination 2022 | 18,848 |
Term Loans by Year of Origination 2021 | 19,369 |
Term Loans by Year of Origination 2020 | 10,637 |
Term Loans by Year of Origination 2019 | 7,475 |
Term Loans by Year of Origination Prior | 6,342 |
Revolving Loans | 46,082 |
Revolving Loans Converted to Term | 529 |
Total | 126,716 |
Commercial & industrial [Member] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 17,239 |
Term Loans by Year of Origination 2022 | 18,076 |
Term Loans by Year of Origination 2021 | 19,143 |
Term Loans by Year of Origination 2020 | 10,573 |
Term Loans by Year of Origination 2019 | 7,449 |
Term Loans by Year of Origination Prior | 5,965 |
Revolving Loans | 45,831 |
Revolving Loans Converted to Term | 444 |
Total | 124,720 |
Commercial & industrial [Member] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | 731 |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | 64 |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | 140 |
Revolving Loans | 201 |
Revolving Loans Converted to Term | |
Total | 1,136 |
Commercial & industrial [Member] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | 41 |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | 25 |
Term Loans by Year of Origination Prior | 137 |
Revolving Loans | |
Revolving Loans Converted to Term | 80 |
Total | 283 |
Commercial & industrial [Member] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 195 |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | 226 |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | 1 |
Term Loans by Year of Origination Prior | 100 |
Revolving Loans | 50 |
Revolving Loans Converted to Term | 5 |
Total | 577 |
Commercial & industrial [Member] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Commercial real estate - owner occupied [Member ] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 29,253 |
Term Loans by Year of Origination 2022 | 21,427 |
Term Loans by Year of Origination 2021 | 26,834 |
Term Loans by Year of Origination 2020 | 15,269 |
Term Loans by Year of Origination 2019 | 13,240 |
Term Loans by Year of Origination Prior | 20,409 |
Revolving Loans | 112 |
Revolving Loans Converted to Term | 173 |
Total | 126,717 |
Commercial real estate - owner occupied [Member ] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 29,253 |
Term Loans by Year of Origination 2022 | 21,427 |
Term Loans by Year of Origination 2021 | 26,808 |
Term Loans by Year of Origination 2020 | 12,931 |
Term Loans by Year of Origination 2019 | 12,881 |
Term Loans by Year of Origination Prior | 20,409 |
Revolving Loans | 112 |
Revolving Loans Converted to Term | 173 |
Total | 123,994 |
Commercial real estate - owner occupied [Member ] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | 2,338 |
Term Loans by Year of Origination 2019 | 358 |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 2,696 |
Commercial real estate - owner occupied [Member ] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Commercial real estate - owner occupied [Member ] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | 26 |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | 1 |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 27 |
Commercial real estate - owner occupied [Member ] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Commercial real estate - nonowner occupied [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 52,915 |
Term Loans by Year of Origination 2022 | 67,285 |
Term Loans by Year of Origination 2021 | 47,658 |
Term Loans by Year of Origination 2020 | 46,364 |
Term Loans by Year of Origination 2019 | 31,399 |
Term Loans by Year of Origination Prior | 49,307 |
Revolving Loans | 2,395 |
Revolving Loans Converted to Term | |
Total | 297,323 |
Commercial real estate - nonowner occupied [Member] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 52,915 |
Term Loans by Year of Origination 2022 | 67,285 |
Term Loans by Year of Origination 2021 | 47,658 |
Term Loans by Year of Origination 2020 | 46,364 |
Term Loans by Year of Origination 2019 | 30,561 |
Term Loans by Year of Origination Prior | 47,895 |
Revolving Loans | 2,377 |
Revolving Loans Converted to Term | |
Total | 295,055 |
Commercial real estate - nonowner occupied [Member] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | 838 |
Term Loans by Year of Origination Prior | 1,134 |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 1,972 |
Commercial real estate - nonowner occupied [Member] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | 154 |
Revolving Loans | 18 |
Revolving Loans Converted to Term | |
Total | 172 |
Commercial real estate - nonowner occupied [Member] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | 124 |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 124 |
Commercial real estate - nonowner occupied [Member] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Agricultural [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 9,496 |
Term Loans by Year of Origination 2022 | 16,131 |
Term Loans by Year of Origination 2021 | 12,940 |
Term Loans by Year of Origination 2020 | 3,029 |
Term Loans by Year of Origination 2019 | 1,859 |
Term Loans by Year of Origination Prior | 9,801 |
Revolving Loans | 12,403 |
Revolving Loans Converted to Term | |
Total | 65,659 |
Agricultural [Member] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 9,496 |
Term Loans by Year of Origination 2022 | 16,131 |
Term Loans by Year of Origination 2021 | 12,940 |
Term Loans by Year of Origination 2020 | 3,029 |
Term Loans by Year of Origination 2019 | 1,859 |
Term Loans by Year of Origination Prior | 9,801 |
Revolving Loans | 12,403 |
Revolving Loans Converted to Term | |
Total | 65,659 |
Agricultural [Member] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Agricultural [Member] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Agricultural [Member] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Agricultural [Member] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Residential real estate [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 53,013 |
Term Loans by Year of Origination 2022 | 110,531 |
Term Loans by Year of Origination 2021 | 85,436 |
Term Loans by Year of Origination 2020 | 31,612 |
Term Loans by Year of Origination 2019 | 10,910 |
Term Loans by Year of Origination Prior | 23,505 |
Revolving Loans | 1,816 |
Revolving Loans Converted to Term | 1,300 |
Total | 318,123 |
Residential real estate [Member] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 53,013 |
Term Loans by Year of Origination 2022 | 110,531 |
Term Loans by Year of Origination 2021 | 85,075 |
Term Loans by Year of Origination 2020 | 31,558 |
Term Loans by Year of Origination 2019 | 10,425 |
Term Loans by Year of Origination Prior | 22,564 |
Revolving Loans | 1,816 |
Revolving Loans Converted to Term | 1,300 |
Total | 316,282 |
Residential real estate [Member] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Residential real estate [Member] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | 361 |
Term Loans by Year of Origination 2020 | 54 |
Term Loans by Year of Origination 2019 | 485 |
Term Loans by Year of Origination Prior | 920 |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 1,820 |
Residential real estate [Member] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | 21 |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 21 |
Residential real estate [Member] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Home equity line of credit (HELOC) [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | 46 |
Term Loans by Year of Origination 2020 | 18 |
Term Loans by Year of Origination 2019 | 85 |
Term Loans by Year of Origination Prior | 153 |
Revolving Loans | 40,952 |
Revolving Loans Converted to Term | 6,591 |
Total | 47,845 |
Home equity line of credit (HELOC) [Member] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | 46 |
Term Loans by Year of Origination 2020 | 18 |
Term Loans by Year of Origination 2019 | 85 |
Term Loans by Year of Origination Prior | 94 |
Revolving Loans | 40,932 |
Revolving Loans Converted to Term | 6,492 |
Total | 47,667 |
Home equity line of credit (HELOC) [Member] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | 59 |
Revolving Loans | 20 |
Revolving Loans Converted to Term | 99 |
Total | 178 |
Home equity line of credit (HELOC) [Member] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Home equity line of credit (HELOC) [Member] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Home equity line of credit (HELOC) [Member] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Consumer [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 3,296 |
Term Loans by Year of Origination 2022 | 5,151 |
Term Loans by Year of Origination 2021 | 1,429 |
Term Loans by Year of Origination 2020 | 741 |
Term Loans by Year of Origination 2019 | 221 |
Term Loans by Year of Origination Prior | 128 |
Revolving Loans | 6,863 |
Revolving Loans Converted to Term | |
Total | 17,829 |
Consumer [Member] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 3,296 |
Term Loans by Year of Origination 2022 | 5,142 |
Term Loans by Year of Origination 2021 | 1,429 |
Term Loans by Year of Origination 2020 | 740 |
Term Loans by Year of Origination 2019 | 221 |
Term Loans by Year of Origination Prior | 128 |
Revolving Loans | 6,863 |
Revolving Loans Converted to Term | |
Total | 17,819 |
Consumer [Member] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | 1 |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 1 |
Consumer [Member] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | 9 |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | 9 |
Consumer [Member] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Consumer [Member] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total | |
Total Loans [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 165,407 |
Term Loans by Year of Origination 2022 | 239,373 |
Term Loans by Year of Origination 2021 | 193,712 |
Term Loans by Year of Origination 2020 | 107,670 |
Term Loans by Year of Origination 2019 | 65,189 |
Term Loans by Year of Origination Prior | 109,645 |
Revolving Loans | 110,623 |
Revolving Loans Converted to Term | 8,593 |
Total | 1,000,212 |
Total Loans [Member] | Pass [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 165,212 |
Term Loans by Year of Origination 2022 | 238,592 |
Term Loans by Year of Origination 2021 | 193,099 |
Term Loans by Year of Origination 2020 | 105,213 |
Term Loans by Year of Origination 2019 | 63,481 |
Term Loans by Year of Origination Prior | 106,856 |
Revolving Loans | 110,334 |
Revolving Loans Converted to Term | 8,409 |
Total | 991,196 |
Total Loans [Member] | Special Mention [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | 731 |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | 2,403 |
Term Loans by Year of Origination 2019 | 1,196 |
Term Loans by Year of Origination Prior | 1,333 |
Revolving Loans | 221 |
Revolving Loans Converted to Term | 99 |
Total | 5,983 |
Total Loans [Member] | Substandard [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | 50 |
Term Loans by Year of Origination 2021 | 361 |
Term Loans by Year of Origination 2020 | 54 |
Term Loans by Year of Origination 2019 | 510 |
Term Loans by Year of Origination Prior | 1,211 |
Revolving Loans | 18 |
Revolving Loans Converted to Term | 80 |
Total | 2,284 |
Total Loans [Member] | Doubtful [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | 195 |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | 252 |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | 2 |
Term Loans by Year of Origination Prior | 245 |
Revolving Loans | 50 |
Revolving Loans Converted to Term | 5 |
Total | 749 |
Total Loans [Member] | Loss [Member] | |
Commercial & industrial | |
Term Loans by Year of Origination 2023 | |
Term Loans by Year of Origination 2022 | |
Term Loans by Year of Origination 2021 | |
Term Loans by Year of Origination 2020 | |
Term Loans by Year of Origination 2019 | |
Term Loans by Year of Origination Prior | |
Revolving Loans | |
Revolving Loans Converted to Term | |
Total |
Loans and Allowance for Cred_11
Loans and Allowance for Credit Losses (Details) - Schedule of Credit Quality Indicators and Loan Categories - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | $ 1,000,212 | $ 962,075 |
Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 949,531 | |
Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 8,223 | |
Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 3,973 | |
Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 348 | |
Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Commercial & industrial [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 126,716 | 128,393 |
Commercial & industrial [Member] | Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 127,727 | |
Commercial & industrial [Member] | Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 394 | |
Commercial & industrial [Member] | Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 158 | |
Commercial & industrial [Member] | Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 114 | |
Commercial & industrial [Member] | Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Commercial real estate - owner occupied [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 126,717 | 110,929 |
Commercial real estate - owner occupied [Member] | Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 107,999 | |
Commercial real estate - owner occupied [Member] | Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 2,930 | |
Commercial real estate - owner occupied [Member] | Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Commercial real estate - owner occupied [Member] | Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Commercial real estate - owner occupied [Member] | Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Commercial real estate - nonowner occupied [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 297,323 | 301,880 |
Commercial real estate - nonowner occupied [Member] | Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 296,611 | |
Commercial real estate - nonowner occupied [Member] | Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 4,899 | |
Commercial real estate - nonowner occupied [Member] | Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 160 | |
Commercial real estate - nonowner occupied [Member] | Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 210 | |
Commercial real estate - nonowner occupied [Member] | Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Agricultural [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 65,659 | 64,505 |
Agricultural [Member] | Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 64,505 | |
Agricultural [Member] | Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Agricultural [Member] | Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Agricultural [Member] | Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Agricultural [Member] | Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Residential real estate [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 318,123 | 291,368 |
Residential real estate [Member] | Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 288,028 | |
Residential real estate [Member] | Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Residential real estate [Member] | Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 3,316 | |
Residential real estate [Member] | Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 24 | |
Residential real estate [Member] | Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
HELOC [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 47,845 | 45,056 |
HELOC [Member] | Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 44,746 | |
HELOC [Member] | Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
HELOC [Member] | Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 310 | |
HELOC [Member] | Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
HELOC [Member] | Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Consumer [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | $ 17,829 | 19,944 |
Consumer [Member] | Pass [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 19,915 | |
Consumer [Member] | Special Mention [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Consumer [Member] | Substandard [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | 29 | |
Consumer [Member] | Doubtful [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans | ||
Consumer [Member] | Loss [Member] | ||
Schedule of Credit Quality Indicators and Loan Categories [Line Items] | ||
Total Loans |
Loans and Allowance for Cred_12
Loans and Allowance for Credit Losses (Details) - Schedule of Loan Portfolio Aging Analysis - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | $ 115 | |
Current | 1,000,212 | $ 962,075 |
Total Loans Receivable | 1,000,212 | 962,075 |
30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 114 | 394 |
60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 263 | 569 |
Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 1,150 | 1,593 |
Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 1,527 | 2,556 |
Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 998,685 | |
Current | 959,519 | |
Total Loans Receivable | 959,519 | |
Commercial & industrial [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 97 | |
Current | 126,716 | 128,393 |
Total Loans Receivable | 126,716 | 128,393 |
Commercial & industrial [Member] | 30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 26 | 23 |
Commercial & industrial [Member] | 60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 108 | |
Commercial & industrial [Member] | Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 658 | 114 |
Commercial & industrial [Member] | Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 684 | 245 |
Commercial & industrial [Member] | Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 126,032 | |
Current | 128,148 | |
Total Loans Receivable | 128,148 | |
Commercial real estate - owner occupied [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Current | 126,717 | 110,929 |
Total Loans Receivable | 126,717 | 110,929 |
Commercial real estate - owner occupied [Member] | 30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Commercial real estate - owner occupied [Member] | 60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Commercial real estate - owner occupied [Member] | Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Commercial real estate - owner occupied [Member] | Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Commercial real estate - owner occupied [Member] | Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 126,717 | |
Current | 110,929 | |
Total Loans Receivable | 110,929 | |
Commercial real estate - nonowner occupied [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Current | 297,323 | 301,880 |
Total Loans Receivable | 297,323 | 301,880 |
Commercial real estate - nonowner occupied [Member] | 30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 114 | |
Commercial real estate - nonowner occupied [Member] | 60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Commercial real estate - nonowner occupied [Member] | Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 29 | 32 |
Commercial real estate - nonowner occupied [Member] | Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 29 | 146 |
Commercial real estate - nonowner occupied [Member] | Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 297,294 | |
Current | 301,734 | |
Total Loans Receivable | 301,734 | |
Agricultural [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Current | 65,659 | 64,505 |
Total Loans Receivable | 65,659 | 64,505 |
Agricultural [Member] | 30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Agricultural [Member] | 60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Agricultural [Member] | Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Agricultural [Member] | Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Agricultural [Member] | Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 65,659 | |
Current | 64,505 | |
Total Loans Receivable | 64,505 | |
Residential real estate [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 18 | |
Current | 318,123 | 291,368 |
Total Loans Receivable | 318,123 | 291,368 |
Residential real estate [Member] | 30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 98 | |
Residential real estate [Member] | 60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 222 | 411 |
Residential real estate [Member] | Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 395 | 1,287 |
Residential real estate [Member] | Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 617 | 1,796 |
Residential real estate [Member] | Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 317,506 | |
Current | 289,572 | |
Total Loans Receivable | 289,572 | |
HELOC [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Current | 47,845 | 45,056 |
Total Loans Receivable | 47,845 | 45,056 |
HELOC [Member] | 30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 98 | |
HELOC [Member] | 60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 8 | 24 |
HELOC [Member] | Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 67 | 138 |
HELOC [Member] | Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 75 | 260 |
HELOC [Member] | Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 47,770 | |
Current | 44,796 | |
Total Loans Receivable | 44,796 | |
Consumer [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | ||
Current | 17,829 | 19,944 |
Total Loans Receivable | 17,829 | 19,944 |
Consumer [Member] | 30-59 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 88 | 61 |
Consumer [Member] | 60-89 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 33 | 26 |
Consumer [Member] | Greater Than 90 Days Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 1 | 22 |
Consumer [Member] | Past Due [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | 122 | 109 |
Consumer [Member] | Current [Member] | ||
Schedule of Loan Portfolio Aging Analysis [Line Items] | ||
Total Past Due | $ 17,707 | |
Current | 19,835 | |
Total Loans Receivable | $ 19,835 |
Loans and Allowance for Cred_13
Loans and Allowance for Credit Losses (Details) - Schedule of Categories of Nonaccrual Loans - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | $ 2,703 | |
Nonaccrual loans with an allowance | 115 | |
Total nonaccrual loans | 2,818 | $ 3,682 |
Commercial & industrial [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | 651 | |
Nonaccrual loans with an allowance | 97 | |
Total nonaccrual loans | 748 | 114 |
Commercial Real Estate [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | 26 | |
Nonaccrual loans with an allowance | ||
Total nonaccrual loans | 26 | |
Commercial real estate - nonowner occupied [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | 141 | |
Nonaccrual loans with an allowance | ||
Total nonaccrual loans | 141 | 210 |
Agricultural [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | ||
Nonaccrual loans with an allowance | ||
Total nonaccrual loans | ||
Residential Real Estate [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | 1,694 | |
Nonaccrual loans with an allowance | 18 | |
Total nonaccrual loans | 1,712 | 3,020 |
Home equity line of credit (HELOC) [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | 180 | |
Nonaccrual loans with an allowance | ||
Total nonaccrual loans | 180 | 310 |
Consumer [Member] | ||
Loans and Allowance for Credit Losses [Line Items] | ||
Nonaccrual loans with no allowance | 11 | |
Nonaccrual loans with an allowance | ||
Total nonaccrual loans | $ 11 | $ 28 |
Loans and Allowance for Cred_14
Loans and Allowance for Credit Losses (Details) - Schedule of Impaired Loan Activity $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Commercial & industrial [Member] | |
With no related allowance recorded: | |
With no related allowance recorded, Recorded Investment | $ 204 |
With no related allowance recorded, Unpaid Principal Balance | 627 |
With no related allowance recorded, Related Allowance | |
With no related allowance recorded, Average Recorded Investment | 650 |
With no related allowance recorded, Interest Income Recognized | 34 |
With a specific allowance recorded: | |
With a specific allowance recorded, Recorded Investment | |
With a specific allowance recorded, Unpaid Principal Balance | |
With a specific allowance recorded, Related Allowance | |
With a specific allowance recorded, Average Recorded Investment | |
With a specific allowance recorded, Interest Income Recognized | |
Totals: | |
Total Recorded Investment | 204 |
Total Unpaid Principal Balance | 627 |
Total Related Allowance | |
Total Average Recorded Investment | 650 |
Total Interest Income Recognized | 34 |
Commercial real estate - owner occupied [Member] | |
With no related allowance recorded: | |
With no related allowance recorded, Recorded Investment | |
With no related allowance recorded, Unpaid Principal Balance | |
With no related allowance recorded, Related Allowance | |
With no related allowance recorded, Average Recorded Investment | |
With no related allowance recorded, Interest Income Recognized | |
With a specific allowance recorded: | |
With a specific allowance recorded, Recorded Investment | |
With a specific allowance recorded, Unpaid Principal Balance | |
With a specific allowance recorded, Related Allowance | |
With a specific allowance recorded, Average Recorded Investment | |
With a specific allowance recorded, Interest Income Recognized | |
Totals: | |
Total Recorded Investment | |
Total Unpaid Principal Balance | |
Total Related Allowance | |
Total Average Recorded Investment | |
Total Interest Income Recognized | |
Commercial real estate - nonowner occupied [Member] | |
With no related allowance recorded: | |
With no related allowance recorded, Recorded Investment | 347 |
With no related allowance recorded, Unpaid Principal Balance | 825 |
With no related allowance recorded, Related Allowance | |
With no related allowance recorded, Average Recorded Investment | 1,350 |
With no related allowance recorded, Interest Income Recognized | 94 |
With a specific allowance recorded: | |
With a specific allowance recorded, Recorded Investment | |
With a specific allowance recorded, Unpaid Principal Balance | |
With a specific allowance recorded, Related Allowance | |
With a specific allowance recorded, Average Recorded Investment | |
With a specific allowance recorded, Interest Income Recognized | |
Totals: | |
Total Recorded Investment | 347 |
Total Unpaid Principal Balance | 825 |
Total Related Allowance | |
Total Average Recorded Investment | 1,350 |
Total Interest Income Recognized | 94 |
Agricultural [Member] | |
With no related allowance recorded: | |
With no related allowance recorded, Recorded Investment | |
With no related allowance recorded, Unpaid Principal Balance | |
With no related allowance recorded, Related Allowance | |
With no related allowance recorded, Average Recorded Investment | |
With no related allowance recorded, Interest Income Recognized | |
With a specific allowance recorded: | |
With a specific allowance recorded, Recorded Investment | |
With a specific allowance recorded, Unpaid Principal Balance | |
With a specific allowance recorded, Related Allowance | |
With a specific allowance recorded, Average Recorded Investment | |
With a specific allowance recorded, Interest Income Recognized | |
Totals: | |
Total Recorded Investment | |
Total Unpaid Principal Balance | |
Total Related Allowance | |
Total Average Recorded Investment | |
Total Interest Income Recognized | |
Residential real estate [Member] | |
With no related allowance recorded: | |
With no related allowance recorded, Recorded Investment | 1,491 |
With no related allowance recorded, Unpaid Principal Balance | 1,558 |
With no related allowance recorded, Related Allowance | |
With no related allowance recorded, Average Recorded Investment | 1,793 |
With no related allowance recorded, Interest Income Recognized | 65 |
With a specific allowance recorded: | |
With a specific allowance recorded, Recorded Investment | 1,372 |
With a specific allowance recorded, Unpaid Principal Balance | 1,372 |
With a specific allowance recorded, Related Allowance | 138 |
With a specific allowance recorded, Average Recorded Investment | 1,424 |
With a specific allowance recorded, Interest Income Recognized | 43 |
Totals: | |
Total Recorded Investment | 2,863 |
Total Unpaid Principal Balance | 2,930 |
Total Related Allowance | 138 |
Total Average Recorded Investment | 3,217 |
Total Interest Income Recognized | 108 |
HELOC [Member] | |
With no related allowance recorded: | |
With no related allowance recorded, Recorded Investment | 68 |
With no related allowance recorded, Unpaid Principal Balance | 68 |
With no related allowance recorded, Average Recorded Investment | 85 |
With no related allowance recorded, Interest Income Recognized | 4 |
With a specific allowance recorded: | |
With a specific allowance recorded, Recorded Investment | 46 |
With a specific allowance recorded, Unpaid Principal Balance | 46 |
With a specific allowance recorded, Related Allowance | 2 |
With a specific allowance recorded, Average Recorded Investment | 51 |
With a specific allowance recorded, Interest Income Recognized | 2 |
Totals: | |
Total Recorded Investment | 114 |
Total Unpaid Principal Balance | 114 |
Total Related Allowance | 2 |
Total Average Recorded Investment | 136 |
Total Interest Income Recognized | 6 |
Consumer [Member] | |
With no related allowance recorded: | |
With no related allowance recorded, Recorded Investment | |
With no related allowance recorded, Unpaid Principal Balance | |
With no related allowance recorded, Related Allowance | |
With no related allowance recorded, Average Recorded Investment | |
With no related allowance recorded, Interest Income Recognized | |
With a specific allowance recorded: | |
With a specific allowance recorded, Recorded Investment | |
With a specific allowance recorded, Unpaid Principal Balance | |
With a specific allowance recorded, Related Allowance | |
With a specific allowance recorded, Average Recorded Investment | |
With a specific allowance recorded, Interest Income Recognized | |
Totals: | |
Total Recorded Investment | |
Total Unpaid Principal Balance | |
Total Related Allowance | |
Total Average Recorded Investment | |
Total Interest Income Recognized |
Loans and Allowance for Cred_15
Loans and Allowance for Credit Losses (Details) - Schedule of Credit Losses for Unfunded Loan Commitments - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Credit Losses for Unfunded Loan Commitments [Abstract] | ||
Balance, beginning of period | ||
Adjustment for adoption of ASU 2016-13 | 1,149 | |
Provision for unfunded commitments | (373) | |
Balance, end of period | $ 776 |
Loans and Allowance for Cred_16
Loans and Allowance for Credit Losses (Details) - Schedule of Loans to Directors - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Loans to Directors [Abstract] | ||
Balance at beginning of period | $ 521 | $ 521 |
Balance at end of period | 435 | 521 |
Effect of change in compostioin of directors and executive officers | 112 | |
New Term Loans | ||
Repayment of term loans | (144) | (53) |
Changes in balances of revolving lines of credit | $ 58 | $ (59) |
Premises and Equipment (Details
Premises and Equipment (Details) - Schedule of Premises and Equipment - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 47,235 | $ 46,456 |
Less accumulated depreciation | (25,857) | (23,627) |
Net premises and equipment | 21,378 | 22,829 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 3,563 | 3,563 |
Buildings and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 27,663 | 27,699 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 15,842 | 14,315 |
Construction in process [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 167 | $ 879 |
Goodwill and Intangibles (Detai
Goodwill and Intangibles (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill and Intangibles [Abstract] | |||
Balance of goodwill | $ 23,239 | $ 23,239 | $ 23,191 |
Amortization expense for intangibles | $ 90 | $ 69 | |
Estimated amortization expense | 5 years |
Goodwill and Intangibles (Det_2
Goodwill and Intangibles (Details) - Schedule of The Balance of Goodwill - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of The Balance of Goodwill [Abstract] | ||
Beginning balance | $ 23,239 | $ 23,191 |
Measurement period adjustments | 48 | |
Ending balance | $ 23,239 | $ 23,239 |
Goodwill and Intangibles (Det_3
Goodwill and Intangibles (Details) - Schedule of Carrying basis and Accumulated Amortization of Intangible Assets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Core deposits intangible [Member] | ||
Goodwill and Intangibles [Line Items] | ||
Gross Carrying Amount | $ 660 | $ 660 |
Accumulated Amortization | (236) | (170) |
Customer relationship intangible [Member] | ||
Goodwill and Intangibles [Line Items] | ||
Gross Carrying Amount | 200 | 200 |
Accumulated Amortization | (200) | (176) |
Banking intangibles [Member] | ||
Goodwill and Intangibles [Line Items] | ||
Gross Carrying Amount | 860 | 860 |
Accumulated Amortization | $ (436) | $ (346) |
Mortgage Banking and Servicin_3
Mortgage Banking and Servicing Rights (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Mortgage Banking and Servicing Rights [Line Items] | ||
Unpaid principal balance of mortgage loans | $ 1,400 | $ 1,400 |
Servicing fees | $ 3.4 | $ 3.2 |
Mortgage Banking and Servicin_4
Mortgage Banking and Servicing Rights (Details) - Schedule of Mortgage Servicing Rights Capitalized and Related Amortization - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Mortgage Servicing Rights Capitalized and Related Amortization [Abstract] | ||
Carrying amount, beginning of year | $ 13,503 | $ 12,034 |
Mortgage servicing rights capitalized during the year | 1,695 | 1,939 |
Mortgage servicing rights amortization during the year | (1,242) | (1,749) |
Net change in valuation allowance | (50) | 1,279 |
Carrying amount, end of year | 13,906 | 13,503 |
Valuation allowance: | ||
Beginning of year | 177 | 1,456 |
Increase (reduction) | 50 | (1,279) |
End of year | 227 | 177 |
Fair value, beginning of period | 15,754 | 12,629 |
Fair value, end of period | $ 17,125 | $ 15,754 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Details) - Schedule of Notional Amount and Fair Value of the Company’s Interest Rate Swaps - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Derivatives not designated as hedging instruments | ||
Asset Derivatives, Notional Amount | $ 75,847 | $ 71,977 |
Asset Derivatives, Fair Value | 3,683 | 5,564 |
Derivatives not designated as hedging instruments | ||
Liability Derivatives, Notional Amount | 79,131 | 69,745 |
Liability Derivatives, Fair Value | (3,675) | (5,558) |
Interest rate swaps associated with loans [Member] | ||
Derivatives not designated as hedging instruments | ||
Asset Derivatives, Notional Amount | 68,381 | 66,477 |
Asset Derivatives, Fair Value | 3,638 | 5,538 |
Derivatives not designated as hedging instruments | ||
Liability Derivatives, Notional Amount | 68,381 | 66,477 |
Liability Derivatives, Fair Value | (3,638) | (5,538) |
IRLCs [Member] | ||
Derivatives not designated as hedging instruments | ||
Asset Derivatives, Notional Amount | 7,466 | |
Asset Derivatives, Fair Value | 45 | |
Derivatives not designated as hedging instruments | ||
Liability Derivatives, Notional Amount | 3,268 | |
Liability Derivatives, Fair Value | (20) | |
Forward Contracts [Member] | ||
Derivatives not designated as hedging instruments | ||
Asset Derivatives, Notional Amount | 5,500 | |
Asset Derivatives, Fair Value | 26 | |
Derivatives not designated as hedging instruments | ||
Liability Derivatives, Notional Amount | 10,750 | |
Liability Derivatives, Fair Value | $ (37) |
Derivative Financial Instrume_4
Derivative Financial Instruments (Details) - Schedule of the Amounts Included in the Consolidated Statements of Income for Non-Hedging Derivative Financial Instruments - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Interest rate swap contracts [Member] | ||
Condensed Financial Statements, Captions [Line Items] | ||
Statement of income classification | Other income | |
Amount of gain (loss) | $ 132 | $ 19 |
IRLCs [Member] | ||
Condensed Financial Statements, Captions [Line Items] | ||
Statement of income classification | Gain on sale of mortgage loans & OMSR | |
Amount of gain (loss) | $ 65 | (42) |
Forward contracts [Member] | ||
Condensed Financial Statements, Captions [Line Items] | ||
Statement of income classification | Gain on sale of mortgage loans & OMSR | |
Amount of gain (loss) | $ (63) | $ 57 |
Derivative Financial Instrume_5
Derivative Financial Instruments (Details) - Schedule of the Offsetting of Financial Assets and Derivative Assets - Interest rate swaps [Member] - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Gross amounts of recognized assets | $ 3,957 | $ 5,540 |
Gross amounts offset in the consolidated balance sheet | 319 | 2 |
Net amounts of assets presented in the consolidated balance sheet | 3,638 | 5,538 |
Gross amounts not offset in the consolidated balance sheet, Financial instruments | ||
Gross amounts not offset in the consolidated balance sheet, Cash collateral received | 2,900 | 4,480 |
Gross amounts not offset in the consolidated balance sheet, Net amount | $ 738 | $ 1,058 |
Derivative Financial Instrume_6
Derivative Financial Instruments (Details) - Schedule of the Offsetting of Financial Liabilities and Derivative Liabilities - Interest rate swaps [Member] - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Gross amounts of recognized liabilities | $ 3,957 | $ 5,540 |
Gross amounts offset in the consolidated balance sheet | 319 | 2 |
Net amounts of liabilities presented in the consolidated balance sheet | 3,638 | 5,538 |
Gross amounts not offset in the consolidated balance sheet, Financial instruments | ||
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged | ||
Gross amounts not offset in the consolidated balance sheet, Net amount | $ 3,638 | $ 5,538 |
Interest-Bearing Deposits (Deta
Interest-Bearing Deposits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Interest-Bearing Deposits [Line Items] | ||
Interest-bearing time deposits | $ 250,000 | |
Totaled amount | 54,100 | $ 23,400 |
Certificates of deposit obtained from brokers | 7,000 | |
Time deposits | 56,500 | 58,000 |
Insured balances | 250,000 | |
Cash CDARS program insured | 250,000 | |
Other banks program | 250,000 | |
Deposit amount | $ 5,200 | $ 7,000 |
Interest-Bearing Deposits (De_2
Interest-Bearing Deposits (Details) - Schedule of Maturities of Time Deposit - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule Of Maturities Of Time Deposit Abstract | ||
2024 | $ 197,374 | |
2025 | 41,190 | |
2026 | 14,459 | |
2027 | 1,958 | |
2028 | 528 | |
Thereafter | ||
Total | $ 255,509 | $ 190,880 |
Short-Term Borrowings (Details)
Short-Term Borrowings (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Short-Term Borrowings [Line Items] | ||
Agency securities fees | $ 4.5 | $ 5.4 |
Mortgage-backed securities | $ 15.2 | 12.4 |
Securities maturity, description | The collateral is held at the FHLB and has maturities from 2025 through 2051. | |
Repurchase agreement | $ 13.4 | |
Maximum amount outstanding | 24.6 | 30.9 |
Monthly average agreements | 15.8 | 20.3 |
Federal reserve discount | 20.1 | |
Purchases of federal funds | $ 41 | $ 41 |
REPO Agreements [Member] | ||
Short-Term Borrowings [Line Items] | ||
Short-term borrowings mature, description | The repurchase agreements mature within one month. |
Short-Term Borrowings (Detail_2
Short-Term Borrowings (Details) - Schedule of Short-Term Borrowings - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Short-Term Borrowings [Abstract] | ||
Securities Sold Under Repurchase Agreements | $ 13,387 | $ 14,923 |
Federal Home Loan Bank (FHLB)_3
Federal Home Loan Bank (FHLB) Advances (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Federal Home Loan Bank (FHLB) Advances [Line Items] | |
Secured by mortgage loans (in Dollars) | $ 272.1 |
Minimum [Member] | |
Federal Home Loan Bank (FHLB) Advances [Line Items] | |
Variable interest rates | 3.75% |
Maximum [Member] | |
Federal Home Loan Bank (FHLB) Advances [Line Items] | |
Variable interest rates | 5.47% |
Federal Home Loan Bank (FHLB)_4
Federal Home Loan Bank (FHLB) Advances (Details) - Schedule of Aggregate Annual Maturities of FHLB Advances - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Federal Home Loan Bank (FHLB) Advances [Abstract] | ||
2024 | $ 61,100 | |
2026 | 5,000 | |
2028 | 17,500 | |
Total | $ 83,600 | $ 60,000 |
Trust Preferred Securities (Det
Trust Preferred Securities (Details) - USD ($) | 12 Months Ended | ||
Sep. 15, 2005 | Dec. 31, 2023 | Dec. 31, 2022 | |
Trust Preferred Securities [Line Items] | |||
Private offering of capital securities | $ 10,000 | ||
Liquidation amount | $ 1,000 | ||
Capital Securities | $ 10,300,000 | $ 10,300,000 | |
Capital Securities [Member] | |||
Trust Preferred Securities [Line Items] | |||
Variable rate percentage | 1.80% | ||
Maturity date | Sep. 15, 2035 |
Subordinated Debt (Details)
Subordinated Debt (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended |
May 27, 2021 | Dec. 31, 2023 | |
Subordinated Debt [Line Items] | ||
Aggregate principal amount | $ 20 | |
Floating rate percentage | 3.65% | |
Interest rate | 3.65% | |
Debt issuance costs | $ 0.5 | |
Subordinated Debt [Member] | ||
Subordinated Debt [Line Items] | ||
Maturity Date | Jun. 01, 2031 |
Income Taxes (Details)
Income Taxes (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Income Taxes [Abstract] | |
Net operating losses | $ 13.1 |
Valuation allowance |
Income Taxes (Details) - Schedu
Income Taxes (Details) - Schedule of Provision for Income Taxes - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Provision for Income Taxes [Abstract] | ||
Taxes currently payable | $ 744 | $ 86 |
Deferred provision | 1,878 | 2,709 |
Income tax expense | $ 2,622 | $ 2,795 |
Income Taxes (Details) - Sche_2
Income Taxes (Details) - Schedule of Reconciliation of Income Tax Expense at the Statutory Rate - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Reconciliation of Income Tax Expense at the Statutory Rate [Abstract] | ||
Computed at the statutory rate (21%) | $ 3,091 | $ 3,216 |
Increase (decrease) resulting from | ||
Tax exempt interest | (117) | (111) |
BOLI income | (187) | (106) |
Sec. 831(b) election | (198) | (199) |
Other | 33 | (5) |
Actual tax expense | $ 2,622 | $ 2,795 |
Income Taxes (Details) - Sche_3
Income Taxes (Details) - Schedule of Reconciliation of Income Tax Expense at the Statutory Rate (Parentheticals) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Reconciliation of Income Tax Expense at the Statutory Rate [Abstract] | ||
Computed at the statutory Percentage | 21% | 21% |
Income Taxes (Details) - Sche_4
Income Taxes (Details) - Schedule of Tax Effects of Temporary Differences Related to Deferred Taxes - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax assets | ||
Allowance for credit losses | $ 3,315 | $ 2,902 |
Unrealized losses on available-for-sale securities | 7,929 | 8,538 |
Capitalized research and development costs | 90 | 117 |
Accrued bonus | 124 | 142 |
Net operating loss | 2,758 | 5,410 |
Other | 819 | 854 |
Deferred tax assets | 15,035 | 17,963 |
Deferred tax liabilities | ||
Depreciation | (983) | (1,117) |
Mortgage servicing rights | (2,920) | (2,836) |
Purchase accounting adjustments | (1,488) | (1,598) |
Prepaids | (475) | (527) |
Net deferred loan costs | (93) | (93) |
Section 475 MTM | (7,929) | (8,538) |
FHLB stock dividends | (122) | (271) |
Deferred tax liabilities | (14,010) | (14,980) |
Net deferred tax asset | $ 1,025 | $ 2,983 |
Regulatory Matters (Details)
Regulatory Matters (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Regulatory Matters [Abstract] | |
Minimum conservation buffer | 2.50% |
Regulatory Matters (Details) -
Regulatory Matters (Details) - Schedule of Actual Capital Amounts and Ratios - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Actual Amount [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I Capital to average assets | $ 148,049 | $ 146,678 |
Tier I Common equity capital to risk-weighted assets | 148,049 | 146,678 |
Tier I Capital to risk-weighted assets | 148,049 | 146,678 |
Total Risk-based capital to risk-weighted assets | $ 161,872 | $ 160,346 |
Actual Ratio [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I Capital to average assets | 10.93% | 11.06% |
Tier I Common equity capital to risk-weighted assets | 13.42% | 13.42% |
Tier I Capital to risk-weighted assets | 13.42% | 13.42% |
Total Risk-based capital to risk-weighted assets | 14.67% | 14.67% |
For Capital Adequacy Purposes Amount [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I Capital to average assets | $ 54,185 | $ 53,069 |
Tier I Common equity capital to risk-weighted assets | 49,640 | 49,200 |
Tier I Capital to risk-weighted assets | 66,186 | 65,600 |
Total Risk-based capital to risk-weighted assets | $ 88,249 | $ 87,466 |
For Capital Adequacy Purposes Ratio [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I Capital to average assets | 4% | 4% |
Tier I Common equity capital to risk-weighted assets | 4.50% | 4.50% |
Tier I Capital to risk-weighted assets | 6% | 6% |
Total Risk-based capital to risk-weighted assets | 8% | 8% |
To Be Well Capitalized Under Prompt Corrective Action Procedures Amount [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I Capital to average assets | $ 67,732 | $ 66,336 |
Tier I Common equity capital to risk-weighted assets | 71,702 | 71,067 |
Tier I Capital to risk-weighted assets | 88,249 | 87,466 |
Total Risk-based capital to risk-weighted assets | $ 110,311 | $ 109,333 |
To Be Well Capitalized Under Prompt Corrective Action Procedures Ratio [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I Capital to average assets | 5% | 5% |
Tier I Common equity capital to risk-weighted assets | 6.50% | 6.50% |
Tier I Capital to risk-weighted assets | 8% | 8% |
Total Risk-based capital to risk-weighted assets | 10% | 10% |
Employee Benefits (Details)
Employee Benefits (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
May 31, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | |
Employee Benefits [Abstract] | |||
Employer matching contribution, percent | 100% | ||
Maximum employee contribution of compensation received | 4% | ||
Contribution plan, description | Any discretionary contribution made by the Company is fully vested after three years of credited service. | ||
Employer contributions charged to expense | $ 600 | $ 700 | |
Description of agreements provide | The agreements provide monthly payments for up to 15 years that equal 15 percent to 25 percent of average compensation prior to retirement or death. | ||
Employee stock ownership plan (ESOP), compensation expense for current agreements | $ 200 | 200 | |
Policies were purchased | $ 10,500 | ||
Cash surrender value of all life insurance policies | $ 29,121 | $ 28,870 | |
Employee stock ownership plan (ESOP), number of allocated shares (in Shares) (in Shares) | 328,187 | 370,876 | |
Employee stock ownership plan (ESOP), expense | $ 100 | $ 0 |
Share-Based Compensation Plan_2
Share-Based Compensation Plan (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Share-Based Compensation Plan [Line Items] | ||
Option award contractual term | 10 | |
Compensation cost charged against income | $ 0.6 | $ 0.6 |
Share based compensation arrangements | 0.1 | $ 0.1 |
Total unrecognized compensation cost | $ 0.6 | |
Weighted average period | 1 year 7 months 13 days | |
Share-Based Payment Arrangement [Member] | ||
Share-Based Compensation Plan [Line Items] | ||
SAR and common restricted stock, shares (in Shares) | 500,000 |
Share-Based Compensation Plan_3
Share-Based Compensation Plan (Details) - Schedule of Restricted Stock Activity shares in Thousands | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Schedule of Summary of Restricted Stock Activity [Line Items] | |
Shares, Nonvested ending | shares | 48,966 |
Weighted- Average Value per Share, Nonvested ending | $ / shares | $ 18.49 |
Restricted Stock [Member] | |
Schedule of Summary of Restricted Stock Activity [Line Items] | |
Shares, Nonvested begining | shares | 52,919 |
Weighted- Average Value per Share, Nonvested begining | $ / shares | $ 19.23 |
Shares, Granted | shares | 28,664 |
Weighted- Average Value per Share, Granted | $ / shares | $ 16.53 |
Shares, Vested | shares | (31,810) |
Weighted- Average Value per Share, Vested | $ / shares | $ 17.96 |
Shares, Forfeited | shares | (807) |
Weighted- Average Value per Share, Forfeited | $ / shares | $ 18.27 |
Disclosures about Fair Value _3
Disclosures about Fair Value of Assets and Liabilities (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosures about Fair Value of Assets and Liabilities [Abstract] | |
Decrease in constant prepayment rate | 3.42% |
Maturity period | 90 days |
Disclosures about Fair Value _4
Disclosures about Fair Value of Assets and Liabilities (Details) - Schedule of Fair Value Assets Measured on Recurring Basis - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
U.S. Treasury and Government Agencies [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | $ 6,517 | $ 6,764 |
Mortgage-Backed Securities [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 188,867 | 205,835 |
State and Political Subdivisions [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 9,898 | 11,103 |
Other Corporate Securities [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 14,426 | 15,078 |
Interest Rate Contracts - Assets [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 3,638 | 5,538 |
Interest Rate Contracts - Liabilities [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | (3,638) | (5,538) |
Forward Contracts [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | (37) | 26 |
IRLCs [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 45 | (20) |
Level 1 [Member] | U.S. Treasury and Government Agencies [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 1 [Member] | Mortgage-Backed Securities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 1 [Member] | State and Political Subdivisions [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 1 [Member] | Other Corporate Securities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 1 [Member] | Interest Rate Contracts - Assets [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 1 [Member] | Interest Rate Contracts - Liabilities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 1 [Member] | Forward Contracts [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | (37) | 26 |
Level 1 [Member] | IRLCs [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 2 [Member] | U.S. Treasury and Government Agencies [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 6,517 | 6,764 |
Level 2 [Member] | Mortgage-Backed Securities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 188,867 | 205,835 |
Level 2 [Member] | State and Political Subdivisions [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 9,898 | 11,103 |
Level 2 [Member] | Other Corporate Securities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 14,426 | 15,078 |
Level 2 [Member] | Interest Rate Contracts - Assets [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | 3,638 | 5,538 |
Level 2 [Member] | Interest Rate Contracts - Liabilities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | (3,638) | (5,538) |
Level 2 [Member] | Forward Contracts [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 2 [Member] | IRLCs [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | U.S. Treasury and Government Agencies [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | Mortgage-Backed Securities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | State and Political Subdivisions [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | Other Corporate Securities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | Interest Rate Contracts - Assets [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | Interest Rate Contracts - Liabilities [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | Forward Contracts [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | ||
Level 3 [Member] | IRLCs [Member] | Fair Value, Recurring [Member] | ||
Schedule of Fair Value Assets Measured on Recurring Basis [Line Items] | ||
Assets, fair value on recurring basis | $ 45 | $ (20) |
Disclosures about Fair Value _5
Disclosures about Fair Value of Assets and Liabilities (Details) - Schedule of Fair Value Measurements Recognized in the Accompanying Consolidated Balance Sheets Using Significant Unobservable (Level 3) Inputs - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Interest rate lock commitments | ||
Balance at beginning of period | $ (20) | $ 22 |
Change in fair value | 65 | (42) |
Balance at end of period | $ 45 | $ (20) |
Disclosures about Fair Value _6
Disclosures about Fair Value of Assets and Liabilities (Details) - Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | $ 1,896 | $ 1,448 |
Collateral-dependent Individually Evaluated or Impaired Loans [Member] | ||
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | 864 | 1,028 |
Level 1 [Member] | ||
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | ||
Level 1 [Member] | Collateral-dependent Individually Evaluated or Impaired Loans [Member] | ||
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | ||
Level 2 [Member] | ||
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | ||
Level 2 [Member] | Collateral-dependent Individually Evaluated or Impaired Loans [Member] | ||
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | ||
Level 3 [Member] | ||
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | 1,896 | 1,448 |
Level 3 [Member] | Collateral-dependent Individually Evaluated or Impaired Loans [Member] | ||
Schedule of Mortgage Servicing Rights are Tested for Impairment on a Quarterly Basis [Line Items] | ||
Mortgage servicing rights | $ 864 | $ 1,028 |
Disclosures about Fair Value _7
Disclosures about Fair Value of Assets and Liabilities (Details) - Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Collateral-dependent Individually Evaluated or Impaired Loans [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Fair value | $ 864 | $ 1,028 |
Valuation technique | Market comparable properties | Market comparable properties |
Unobservable inputs | Comparability adjustments (%) | Comparability adjustments (%) |
Range (weighted- average) | 2 - 100% (25%) | 8 - 21% (12%) |
Mortgage Servicing Rights [Member] | Discount Rate [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Fair value | $ 1,896 | $ 1,448 |
Valuation technique | Discounted cash flow | Discounted cash flow |
Unobservable inputs | Discount rate | Discount rate |
Range (weighted- average) | 11.01% | 11.39% |
Mortgage Servicing Rights [Member] | Constant Prepayment Rate [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Unobservable inputs | Constant prepayment rate | Constant prepayment rate |
Range (weighted- average) | 7.16% | 7.52% |
Mortgage Servicing Rights [Member] | P&I Earnings Credit [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Unobservable inputs | P&I earnings credit | P&I earnings credit |
Range (weighted- average) | 5.33% | 4.35% |
Mortgage Servicing Rights [Member] | T&I Earnings Credit [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Unobservable inputs | T&I earnings credit | T&I earnings credit |
Range (weighted- average) | 5.13% | 4.58% |
Mortgage Servicing Rights [Member] | Inflation for Cost of Servicing [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Unobservable inputs | Inflation for cost of servicing | Inflation for cost of servicing |
Range (weighted- average) | 3.50% | 3.50% |
IRLCs [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Fair value | $ 45 | $ (20) |
Valuation technique | Discounted cash flow | Discounted cash flow |
Unobservable inputs | Loan closing rates | Loan closing rates |
IRLCs [Member] | Minimum [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Range (weighted- average) | 27% | 41% |
IRLCs [Member] | Maximum [Member] | ||
Schedule of Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements [Line Items] | ||
Range (weighted- average) | 91% | 99% |
Disclosures about Fair Value _8
Disclosures about Fair Value of Assets and Liabilities (Details) - Schedule of Estimated Fair Values Financial Instruments - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Financial assets | ||
Cash and due from banks | $ 22,965 | $ 27,817 |
Interest bearing time deposits | 1,535 | 2,131 |
Loans held for sale | 2,525 | 2,073 |
Loans, net of allowance for losses | 984,426 | 948,257 |
Federal Reserve and FHLB Bank stock, at cost | 7,279 | 6,326 |
Interest receivable | 4,657 | 4,091 |
Financial liabilities | ||
Deposits | 1,070,205 | 1,086,665 |
Short-term borrowings | 13,387 | 14,923 |
FHLB advances | 83,600 | 60,000 |
Trust preferred securities | 10,310 | 10,310 |
Subordinated debt, net of issuance costs | 19,642 | 19,594 |
Interest payable | 2,443 | 769 |
Fair Value [Member] | ||
Financial assets | ||
Cash and due from banks | 22,965 | 27,817 |
Interest bearing time deposits | 1,535 | 2,131 |
Loans held for sale | 2,565 | 2,100 |
Loans, net of allowance for losses | 964,216 | 945,699 |
Federal Reserve and FHLB Bank stock, at cost | 7,279 | 6,326 |
Interest receivable | 4,657 | 4,091 |
Financial liabilities | ||
Deposits | 1,078,028 | 1,090,718 |
Short-term borrowings | 13,387 | 14,923 |
FHLB advances | 83,368 | 59,886 |
Trust preferred securities | 9,759 | 9,674 |
Subordinated debt, net of issuance costs | 19,435 | 18,959 |
Interest payable | 2,443 | 769 |
Level 1 [Member] | ||
Financial assets | ||
Cash and due from banks | 22,965 | 27,817 |
Interest bearing time deposits | ||
Loans held for sale | ||
Loans, net of allowance for losses | ||
Federal Reserve and FHLB Bank stock, at cost | ||
Interest receivable | ||
Financial liabilities | ||
Deposits | 814,696 | 895,785 |
Short-term borrowings | ||
FHLB advances | ||
Trust preferred securities | ||
Subordinated debt, net of issuance costs | ||
Interest payable | ||
Level 2 [Member] | ||
Financial assets | ||
Cash and due from banks | ||
Interest bearing time deposits | 1,535 | 2,131 |
Loans held for sale | 2,565 | 2,100 |
Loans, net of allowance for losses | ||
Federal Reserve and FHLB Bank stock, at cost | 7,279 | 6,326 |
Interest receivable | 4,657 | 4,091 |
Financial liabilities | ||
Deposits | 263,332 | 194,933 |
Short-term borrowings | 13,387 | 14,923 |
FHLB advances | 83,368 | 59,886 |
Trust preferred securities | 9,759 | 9,674 |
Subordinated debt, net of issuance costs | 19,435 | 18,959 |
Interest payable | 2,443 | 769 |
Level 3 [Member] | ||
Financial assets | ||
Cash and due from banks | ||
Interest bearing time deposits | ||
Loans held for sale | ||
Loans, net of allowance for losses | 964,216 | 945,699 |
Federal Reserve and FHLB Bank stock, at cost | ||
Interest receivable | ||
Financial liabilities | ||
Deposits | ||
Short-term borrowings | ||
FHLB advances | ||
Trust preferred securities | ||
Subordinated debt, net of issuance costs | ||
Interest payable |
Parent Company Financial Info_3
Parent Company Financial Information (Details) - Schedule of Condensed Balance Sheets - Parent Company [Member] - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Cash & cash equivalents | $ 6,468 | $ 4,655 |
Investment in banking subsidiaries | 139,502 | 135,923 |
Investment in nonbanking subsidiaries | 6,279 | 6,587 |
Other assets | 2,726 | 2,076 |
Total assets | 154,975 | 149,241 |
Liabilities | ||
Trust preferred securities | 10,000 | 10,000 |
Sub debt net of issuance cost | 19,642 | 19,594 |
Borrowings from nonbanking subsidiaries | 310 | 310 |
Other liabilities & accrued interest payable | 681 | 909 |
Total liabilities | 30,633 | 30,813 |
Shareholders’ equity | 124,342 | 118,428 |
Total liabilities and shareholders’ equity | $ 154,975 | $ 149,241 |
Parent Company Financial Info_4
Parent Company Financial Information (Details) - Schedule of Condensed Statements of Income - Parent Company [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Dividends from subsidiaries: | ||
Banking subsidiaries | $ 10,000 | |
Nonbanking subsidiaries | 700 | 750 |
Total income | 10,700 | 750 |
Expenses | ||
Interest expense | 1,494 | 1,139 |
Other expense | 1,616 | 1,747 |
Total expenses | 3,110 | 2,886 |
Income before income tax | 7,590 | (2,136) |
Income tax benefit | (652) | (613) |
Income (loss) before equity in undistributed income of subsidiaries | 8,242 | (1,523) |
Equity in undistributed income of subsidiaries | ||
Banking subsidiaries | 3,290 | 13,426 |
Nonbanking subsidiaries | 563 | 618 |
Total | 3,853 | 14,044 |
Net income | $ 12,095 | $ 12,521 |
Parent Company Financial Info_5
Parent Company Financial Information (Details) - Schedule of Condensed Statements of Comprehensive Income (Loss) - Parent Company [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Condensed Statements of Comprehensive Income (Loss) [Line Items] | ||
Net income | $ 12,095 | $ 12,521 |
Available-for-sale investment securities: | ||
Gross unrealized holding gain (loss) arising in the period | 2,897 | (38,323) |
Related tax (expense) benefit | (608) | 8,048 |
Net effect on other comprehensive income (loss) | 2,289 | (30,275) |
Total comprehensive income (loss) | $ 14,384 | $ (17,754) |
Parent Company Financial Info_6
Parent Company Financial Information (Details) - Schedule of Condensed Statements of Cash Flows - Parent Company [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Operating activities | ||
Net income | $ 12,095 | $ 12,521 |
Items not requiring (providing) cash | ||
Equity in undistributed net income of subsidiaries | (3,853) | (14,044) |
Stock compensation expense | 576 | 568 |
Other assets | 230 | 973 |
Other liabilities | (228) | (502) |
Net cash provided by (used in) operating activities | 8,820 | (484) |
Financing activities | ||
Dividends on common shares | (3,584) | (3,407) |
Stock dividends on common shares | (8) | |
Repurchase of common shares | (3,471) | (5,900) |
Other financing activities | 48 | 48 |
Net cash used in financing activities | (7,007) | (9,267) |
Net change in cash and cash equivalents | 1,813 | (9,751) |
Cash and cash equivalents, beginning of year | 4,655 | 14,406 |
Cash and cash equivalents, end of year | $ 6,468 | $ 4,655 |
Quarterly Financial Informati_3
Quarterly Financial Information (unaudited) (Details) - Schedule of Quarterly Financial Information (unaudited) - Quarter End Adjustment [Member] - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Mar. 31, 2023 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Quarterly Financial Information [Line Items] | ||||||||
Interest income | $ 13,824 | $ 9,395 | $ 14,406 | $ 10,474 | $ 14,796 | $ 11,764 | $ 15,126 | $ 12,936 |
Interest expense | 3,500 | 918 | 4,577 | 881 | 5,260 | 1,334 | 5,542 | 2,037 |
Net interest income | 10,324 | 8,477 | 9,829 | 9,593 | 9,536 | 10,430 | 9,584 | 10,899 |
Provision for loan losses | 250 | 145 | (6) | (74) | ||||
Noninterest income | 3,666 | 5,802 | 4,361 | 4,673 | 4,163 | 4,043 | 5,531 | 3,713 |
Noninterest expense | 10,773 | 10,859 | 10,339 | 10,802 | 10,481 | 10,385 | 10,369 | 10,268 |
Income tax expense | 517 | 607 | 631 | 630 | 537 | 746 | 937 | 812 |
Net income | $ 2,450 | $ 2,813 | $ 3,075 | $ 2,834 | $ 2,687 | $ 3,342 | $ 3,883 | $ 3,532 |
Basic earnings per common share (in Dollars per share) | $ 0.35 | $ 0.4 | $ 0.45 | $ 0.4 | $ 0.39 | $ 0.48 | $ 0.58 | $ 0.51 |
Diluted earnings per common share (in Dollars per share) | 0.35 | 0.4 | 0.45 | 0.4 | 0.39 | 0.47 | 0.56 | 0.5 |
Dividends per share (in Dollars per share) | $ 0.125 | $ 0.115 | $ 0.13 | $ 0.12 | $ 0.13 | $ 0.12 | $ 0.135 | $ 0.125 |